Lakshya Lahoty
DARE Project: Computational Reasoning with Stock and Flow Macroeconomic Models
Program(s) of Study: Bachelor of Commerce (Finance)
Project Supervisor: Sotirios Liaskos
Beyond the technical skills, the experience taught me how to approach complex topics from multiple perspectives and break them down into more manageable components. This will be valuable in my future studies and professional career, where I will often need to analyze information, make informed decisions, and communicate complex ideas clearly. Overall, the DARE experience has given me a stronger foundation in both economics and computational analysis, which will support my long-term career goals.
Project Description:
My DARE research project, Computational Reasoning with Stock and Flow Macroeconomic Models, focused on understanding how different economic variables interact within an economy using a Stock-Flow Consistent (SFC) model developed by economists Wynne Godley and Marc Lavoie.
The project examined how changes in government spending affect key economic variables such as income, consumption, taxes, disposable income, and household wealth. To do this, I translated the model's equations into Python and built a simulation that tracked the economy over multiple time periods.
I explored how changes in the model influenced the rest of the system and observed how those effects accumulated over time. Through the simulation, I was able to analyze the relationships between economic variables and better understand how policy decisions can impact overall economic activity. The project combined economic theory with computational modeling, allowing me to explore macroeconomic concepts in a practical and interactive way.
The Dean’s Award for Research Excellence (DARE) - Undergraduate enables our students to meaningfully engage in research projects supervised by LA&PS faculty members. Find out more about DARE.
