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A new urban paradigm pathways to sustainable development

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We have also made available an<br />

operating manual (Furtado et al. 2016, 2)<br />

and an empirical expansion of the model<br />

(Furtado and Eberhardt 2016a), including<br />

a more detailed tax system.<br />

However, a number of other policyoriented<br />

analyses and applications that<br />

are spatially rigorous could be easily<br />

implemented, given SEAL’s framework:<br />

• y demographic analysis: changing<br />

fertility and/or mortality rates for<br />

coming years as well as implementing<br />

migration schemes (Billari, Ongaro,<br />

and Prskawetz 2003; Silverman, Bijak,<br />

Hil<strong>to</strong>n, Cao, and Noble 2013);<br />

• y investment in education: given that<br />

agents in the model already have a<br />

‘qualification’ variable—which is, at<br />

the moment, fixed throughout the<br />

simulation—but that could easily<br />

be a result of endogenous increase;<br />

• y transport analysis: adding route<br />

possibilities <strong>to</strong> the current model.<br />

Geocoded addresses for firms and<br />

households are already implemented;<br />

• y corporate innovation, whereby<br />

businesses could generate more than<br />

one homogeneous product. Currently,<br />

businesses are designed <strong>to</strong> have an<br />

inven<strong>to</strong>ry of available products, so<br />

far containing a single product;<br />

• y <strong>urban</strong> hierarchy and <strong>urban</strong> integration<br />

with likely <strong>urban</strong> theory <strong>development</strong>:<br />

“<br />

Governance of cities<br />

is a complex matter.<br />

It involves heterogeneous<br />

citizens and interests, a<br />

number of institutions<br />

and values, and<br />

businesses of<br />

all denominations.<br />

using endogenous economic working<br />

pools, conditioned <strong>to</strong> a reasonable<br />

daily commuting time;<br />

• y macroeconomic analysis: implementing<br />

a credit market (on <strong>to</strong>p of already<br />

existing ‘savings’ accounts) and an<br />

intermediate sec<strong>to</strong>r, with businesses<br />

as well as government as buyers; and<br />

• y a more detailed tax<br />

system implementation.<br />

It is relevant <strong>to</strong> point out that all those<br />

analyses would be made while keeping<br />

the other modules intact. That is, while<br />

a modeller is evaluating a change of a<br />

specific tax policy, the outputs in terms<br />

of unemployment, level of consumption,<br />

activities in the real estate market and time<br />

commuting, <strong>to</strong> name a few, are continuously<br />

being computed and reported. An exact—<br />

although simple—example of that is<br />

presented in Furtado and Eberhardt (2016b).<br />

Final considerations<br />

This article provided a brief overview<br />

of an agent-based model framework<br />

(SEAL), presenting its initial and planned<br />

applications for policymaking within the<br />

complex systems framework.<br />

We can report some advantages 5 and some<br />

limitations of this methodology as a policy<br />

<strong>to</strong>ol <strong>to</strong> empower smart cities governance.<br />

Rapid pro<strong>to</strong>typing and ex ante policy<br />

evaluation are some of the first gains<br />

for <strong>urban</strong> governance. Given a solid<br />

foundation of previous work, a small<br />

team (under six members) can provide<br />

good insights in<strong>to</strong> the effects of a given<br />

proposed policy within a matter of days.<br />

That is, the team can design additional<br />

modules and simulations <strong>to</strong> have a better<br />

understanding of policy impacts across a<br />

number of indica<strong>to</strong>rs and specific <strong>urban</strong><br />

areas prior <strong>to</strong> actual implementation.<br />

Such rapid pro<strong>to</strong>typing practices may<br />

even be <strong>to</strong>ols for real-time, ‘what if?’-type<br />

live meetings in which interested ac<strong>to</strong>rs<br />

may suggest tests or changes <strong>to</strong> the<br />

simulation team.<br />

Another positive fac<strong>to</strong>r of having an ABM<br />

framework is its flexibility. Depending on<br />

the shifting interests of governance at any<br />

particular time, different emphasis can be<br />

applied <strong>to</strong> evolve the platform. The fact<br />

that the platform is additive and modular<br />

means that specific branches can be more<br />

(or less) developed than others, while the<br />

system continues <strong>to</strong> work in full harmony.<br />

This enables a more comprehensive<br />

approach <strong>to</strong> policy evaluation, as opposed<br />

<strong>to</strong> sec<strong>to</strong>ral, isolated analysis.<br />

This approach also has the advantage<br />

of being explicitly spatial, dynamic<br />

and with an emphasis on individual,<br />

local, heterogeneous agents and,<br />

more importantly, their interactions.<br />

This enables an emphasis of the micro<br />

scale, rather than working on aggregate<br />

measures. All of that is in tune with<br />

the description of cities (and their<br />

governance, obviously) as complex<br />

systems (Bettencourt 2015).<br />

Pho<strong>to</strong>: Kevin.ventus. Town Hall of Sydney, Australia, 2014 .<br />

32

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