Work

Simple model for the transition from local to centralized production

Year: 2025

Type: article

Abstract: We present a simple model of a crucial phenomenon in modern societies: The shift from local to centralized production, leading to economies of scale and mass production transported over long-distance networks. Agents combine two distinct (and limited) resources, time and raw materials, either to produce for self-consumption or to sell on the market. The model shows a rich landscape of diverse production regimes, including mixed regimes where agents optimize utility by combining time spent working for the market, for self-subsistence, or by taking time off.

Source: Physical review. E

DOI: 10.1103/physreve.111.034307

Authors: Guillermo Benito-Calvino, Pablo Jensen

Institutions: École Normale Supérieure de Lyon, Centre National de la Recherche Scientifique, Laboratoire de Physique de l'ENS de Lyon

Language: English

Topic: Complex Systems and Time Series Analysis

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: green

OpenAlex ID: W4408447525

FWCI:

Cites: 29

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Related to: 10