FirmsUpdateNetWorth

class bamengine.events.bankruptcy.FirmsUpdateNetWorth

Bases: Event

Update firm net worth with retained profits/losses.

Net worth accumulates retained earnings from each period. Negative net worth (insolvency) leads to bankruptcy in the next event.

Algorithm

For each firm i:

\[ \begin{align}\begin{aligned}A_i \leftarrow A_i + RP_i\\\text{total\_funds}_i = \max(0, A_i)\end{aligned}\end{align} \]

where \(A_i\) = net_worth, \(RP_i\) = retained_profit.

Examples

>>> import bamengine as be
>>> sim = be.Simulation.init(n_firms=100, seed=42)
>>> event = sim.get_event("firms_update_net_worth")
>>> event.execute(sim)

See also

FirmsPayDividends

Calculates retained_profit

bamengine.events._internal.bankruptcy.firms_update_net_worth

Implementation

execute(sim)

Execute the event’s logic.

Mutates simulation state in-place. This method must be implemented by all Event subclasses.

Parameters:

sim (Simulation) – The simulation instance containing all state and configuration.

Returns:

All mutations are in-place.

Return type:

None

Examples

Implement execute in a custom event:

>>> from bamengine import event, ops
>>>
>>> @event
... class CustomPricingEvent:
...     def execute(self, sim):
...         prod = sim.get_role("Producer")
...         # Apply 10% markup to all prices
...         new_prices = ops.multiply(prod.price, 1.1)
...         ops.assign(prod.price, new_prices)

Access configuration and RNG:

>>> @event
... class StochasticEvent:
...     def execute(self, sim):
...         shock = sim.config.h_rho
...         random_values = sim.rng.uniform(0, shock, size=sim.n_firms)
...         # Use random_values in calculations

Notes

The execute method receives full Simulation access, including: - All roles: sim.get_role(“RoleName”) or sim.prod, sim.wrk, etc. - Configuration: sim.config - RNG: sim.rng - Economy state: sim.ec

__init__()

name = 'firms_update_net_worth'