Within the context of Effects Based Operations (EBO), intervention strategies consist of DIME actions (Diplomatic, Information, Military and Economic) that are taken on PMESII nodes (Political, Military, Economic, Social, Information and Infrastructure) to achieve desired effects. This paper presents multi-agent simulation as a technique to explore and investigate the economic component of this holistic framework at multiple levels of analysis. Increasingly, creating an all-inclusive global economy is becoming necessary to develop strategies for ensuring international stability and security. It has hence become critical to better comprehend the shifting econopolitical paradigm in today’s flattened world and its implications for national sovereignty and operational strategy.
The simulation model uses micro-foundations that draw from both neoclassical and behavioral economics to build an emergent ‘Synthetic Economy (SE)’ within a ‘Virtual Province (VP).’ Provincial economies together give rise to a national economy within a ‘Virtual State (VS),’ and subsequently, to the global economy within an emergent ‘Virtual International System (VIS).’ This system, built on the SEAS platform (Synthetic Environment for Analysis and Simulation), facilitates the design of effective economic strategies by providing insight into the impact of various courses of actions conducted at various times. It hence enables the exploration of:
• Critical infrastructure interdependencies within an economy
• Global economic interdependencies through trade and financial networks
• Global impact of domestic and international institutional economic regulation