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A Simple Ecological Monetary Macroeconomic Model

In: Ecological Money and Finance

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  • Thomas Lagoarde-Segot

    (KEDGE Business School and SDSN France)

Abstract

This chapter first reviews the various functions and limitations of economic modeling, before introducing SIM-E, a simple ecological monetary macroeconomic SFC model with 16 equations aligned with the basic monetary principles outlined in the previous chapters. SIM-E can be implemented with the help of a spreadsheet, and permits to highlight the ripple effects of outside money creation on the real and monetary spheres of the economy, as well as on a simplified representation of the Earth System. Finally, the case study section guides students to develop their own spreadsheet simulations, with the objective of initiating a model-based climate policy discussion in the classroom.

Suggested Citation

  • Thomas Lagoarde-Segot, 2023. "A Simple Ecological Monetary Macroeconomic Model," Springer Books, in: Thomas Lagoarde-Segot (ed.), Ecological Money and Finance, chapter 0, pages 201-224, Springer.
    • Handle: RePEc:spr:sprchp:978-3-031-14232-1_7
    DOI: 10.1007/978-3-031-14232-1_7
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