The underlying scientific foundation of the AirMarketsTM Simulator is an agent-based model (ABM). Based on advanced computational economics principles, the ABM represents individual groups of consumers making choices from available air travel options to satisfy their specific air travel requirements. The agents make these choices on the basis of the total cost of travel as it specifically relates to them, including fare and the value of money, trip duration and the value of time, flight amenities and the value of comfort, and parameters which characterize the total journey context.

ABM’s are especially suited to air travel analysis because they are “bottom up” models which capture the time dynamics of the behavior and interaction of individual travelers and the available air travel options. For example, detailed representations of the effects of booking flights over time, where the available itineraries to those who book early are different from those who book late, are easily portrayed and manipulated.