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FIRST ORDER FEEDBACK SYSTEM EXERCISE This is an individual assignment. It is important that you...

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Finance

FIRST ORDER FEEDBACK SYSTEM EXERCISE

This is an individual assignment. It is important that you give much thought to this assignment and come up with your own unique example. Task:

Find one example of first-order reinforcing feedback system or balancing feedback-system.

o Do not use the example from the class or from the textbook. Come up with your own.

o For example, if you change the population model to a rabbit population model or a chicken population model, thats not going to work.

o Observe the system around you. The key is to recognize first order feedback systems around you.

Using Vensim, build the model. Refer to the Generic Structures discussed in the Virtual Classrooms (First Experience with Simulation Part 1 and Part 2).

o Dont build a complicated model. We havent covered anything beyond the generic structures. Stay close to the given structures and apply them to your example.

o Dont forget to set the appropriate time frame.

o Dont forget to define units.

o Dont forget to set the initial value of your stock.

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