Modeling goal seeking behaviour when desired goal is changing
Posted: Fri Mar 03, 2017 7:34 am
Hi
I have a model in which I have a variable called Actual Price.Following Sterman's price discovery by hill climbing structure ( described in CH13), I am modelling actual price in goal-seeking manner.Actual price adjusts to indicated price.Indicated price, in turn, increases or decreases depending upon relative demand and supply pressures.Therefore, change in price can be negative or positive.Although I have thoroughly followed Sterman's book but i still want to confirm whether I am modelling price formation process coreectly or not.I am attaching a copy of the structure.Please see it once.
Regards
Swati
I have a model in which I have a variable called Actual Price.Following Sterman's price discovery by hill climbing structure ( described in CH13), I am modelling actual price in goal-seeking manner.Actual price adjusts to indicated price.Indicated price, in turn, increases or decreases depending upon relative demand and supply pressures.Therefore, change in price can be negative or positive.Although I have thoroughly followed Sterman's book but i still want to confirm whether I am modelling price formation process coreectly or not.I am attaching a copy of the structure.Please see it once.
Regards
Swati