AdjustMinimumWage#

class bamengine.events.labor_market.AdjustMinimumWage[source]#

Bases: Event

Periodically update the minimum wage based on realized inflation.

The minimum wage is indexed to inflation to maintain real purchasing power. Updates occur every min_wage_rev_period periods (e.g., every 4 periods for annual revision). Only updates after sufficient price history exists.

Algorithm

Check if current period is a revision period: \((t+1) \mod \text{min\_wage\_rev\_period} = 0\)
Check if sufficient price history exists: \(t > \text{min\_wage\_rev\_period}\)
If both conditions met: - Retrieve most recent inflation rate: \(\pi_t = \text{inflation\_history}[-1]\) - Update: \(\hat{w}_t = \hat{w}_{t-1} \times (1 + \pi_t)\)
Otherwise, skip revision (\(\hat{w}_t = \hat{w}_{t-1}\))

Mathematical Notation

\[\hat{w}_t = \hat{w}_{t-1} \times (1 + \pi_t)\]

where:

\(\hat{w}_t\): minimum wage at period t
\(\pi_t\): annual inflation rate
Revision occurs only when: \((t+1) \mod M = 0\), where \(M\) = min_wage_rev_period

Examples

Execute this event:

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

Check minimum wage after revision period:

>>> sim = be.Simulation.init(n_firms=10, seed=42, min_wage_rev_period=4)
>>> initial_wage = sim.ec.min_wage
>>> # Run 5 periods to trigger first revision
>>> for _ in range(5):
...     sim.step()
>>> sim.ec.min_wage >= initial_wage  # Should increase with positive inflation
True

Minimum wage unchanged before revision period:

>>> sim = be.Simulation.init(n_firms=10, seed=42, min_wage_rev_period=4)
>>> initial_wage = sim.ec.min_wage
>>> sim.step()
>>> sim.ec.min_wage == initial_wage
True

Notes

This event must execute after CalcInflationRate in each period.

The revision only occurs on specific periods determined by min_wage_rev_period (e.g., if min_wage_rev_period=4, revisions occur at t=4, 8, 12, …).

The minimum wage is bidirectional: it can decrease during deflation.

See also

CalcInflationRate: Calculates inflation rate used for adjustment
FirmsDecideWageOffer: Wage offers must satisfy minimum wage constraint
Economy: Global economy state with min_wage field
bamengine.events._internal.labor_market.adjust_minimum_wage: Implementation

execute(sim)[source]#

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 = 'adjust_minimum_wage'#

AdjustMinimumWage#

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