Agent-based simulation models are a relatively new addition to the tool-box of macroe-

conomists. In this chapter we introduce the Eurace@Unibi model and the research that has

been done within this framework. We show how an agent-based model can be used to identify

economic mechanisms and how it can be applied to spatial policy analysis. Our assessment

is that agent-based models in economics have passed the proof-of-concept phase and it is

now time to move beyond that stage. It has been shown that new kinds of insights can

be obtained that complement established modeling approaches. We conclude by pointing

towards some potentially fruitful areas of agent-based macroeconomic research.