[harlanji]

What approach did you use? I wrote a discrete event sim from scratch once and it was a good experience, simulating adding express lines to a bank for certain transactions. I can see it being overkill, or possibly a good method for tuning dials, depending what you did. I have a sim that I've been kicking around for a couple of months related to my current work environment that I think would help make informed arguments about rule changes over the long term.

[ttul]

I have begun using Monte Carlo simulations for various modeling purposes at the company over the last two years. For example, I created a script to model a price increase and the expected outcome from that increase given a certain rate of churn. That gave me the confidence to go ahead with a 30% increase knowing that in the median case we would end up with more revenue even if some huge number of customers said bye bye.

The increase worked, and churn was lower than expected.

[harlanji]

Thanks for that and the business application, great result. This seems like a good method to make the case for serving more quality sensitive markets against the grain; that’s where I am coming from. Have heard the term, imagine it’ll be added to my tool shed soon. Thanks again.