MICRO-DYN (stands for 'Micro-Dynamics') is a project that attempts to tackle the issue of growth, employment and competitiveness in the knowledge-based European economy through a micro-founded firm-based approach. The nature of the analysis will be 'bottom-up' i.e. moving from the micro-entities of economic actions and strategies at the enterprise level to sectoral, regional, national and European levels.
The rationale for such an approach is that understanding the microeconomic foundations of innovation, competitiveness and growth at the firm level, as well as the firms' interactions with the labour market, is key to understanding the nature of these phenomena at a more aggregated (regional, sectoral or macro) level and of the resulting aggregate economic performance. From a policy-perspective, this implies that the impact of corporate, industrial and regional strategies and policies at national and European levels can be really understood only through the changes they induce in individual firm behaviour.
Integrated and comparable cross-country firm-level evidence will shape the core of the research effort undertaken within the project. The analysis will use as far as possible comprehensive data-sets across all European regions and industries. Statistical models of individual behaviour will be used which will be aggregated at sectoral, regional and national levels to recover the behaviour of aggregate variables.
At the moment, there are very few such models around as different researchers have concentrated on different levels of aggregation with little exploration of their interdependence. The project mobilises a large network of top European researchers specialized in the relevant sub-fields necessary for the successful execution of an ambitious research programme.
Call for proposal
See other projects for this call