Economic Trust Network¶
This model explores the emergence of specialized trade, reputation, and wealth inequality from purely local interactions without centralized planning.
The Model¶
In this economy, there is no global market clearing. Agents form a social graph and only interact with their immediate neighbors.
- Specialization: Each agent has an inherent skill profile for producing different resources. To maximize efficiency, they specialize in one or two resources.
- Needs: However, an agent acts as a biological organism and requires a diverse mix of all resources to survive smoothly. Lacking a required resource drains their base energy rapidly.
- Information Asymmetry: Agents trade surplus resources with neighbors. Both sides can independently decide whether to honor the trade ("honest") or defect ("cheat" / steal).
- Reputation: An honest trade boosts the trust on the edge connecting the two agents. Cheating massively damages that trust.
- Rewiring: Agents constantly evaluate their connections. Edges with low trust are dropped. Agents then seek new partners, probabilistically preferring nodes with a high global reputation.
Emergent Phenomena¶
Running the simulation reveals several phenomena typical of complex socio-economic systems:
- Trade Hubs: Over time, honest agents with complementary skills attract multiple connections. They become highly connected, wealthy hubs ("The Rich get Richer").
- Parasite Exclusion: Agents who cheat frequently are ostracized and isolated. Without trade partners, their unbalanced resource portfolios lead to starvation.
- Resource Clusters: The network topology organizes itself so that complementary specializations are connected.
- Inequality: Even if all start equal, a Gini coefficient > 0.3 regularly emerges simply because early successful trades compound into central network positions.
(Note on Viz: Triangle, Square, Circle denote the primary resource of the agent. Size is their Reputation. Color is their Wealth.)