Building a Macroeconomic Simulator with Multi-Layered Supplier–Customer Relationships

This study constructs an agent-based model suitable for analyzing the propagation of economic shocks based on a macroeconomic structure that covers major entities. Instead setting upstream and downstream firms in inter-firm networks, our includes mechanism connects each firm through supplier–customer relationships incorporates interactions between mutually buying selling intermediate input materials. It is confirmed proposed model’s simulation analysis that, although firm’s sales volume temporarily falls due to shock type causes sharp decline households’ final demand, increase assets held by households as they refrain from spending rather expands their capacity consumption. As result, after ceases exist, tends be even greater than preceding periods shock. Furthermore, we found when products consumer goods sector during shock, non-final sectors are suppressed replacement moderated exist.