Affinity Propagation: A Clustering Algorithm for Computer-Assisted Business Simulations and Experiential Exercises

Abstract

Affinity propagation is a low error, high speed, flexible, and remarkably simple clustering algorithm that may be used in forming teams of participants for business simulations and experiential exercises, and in organizing participants’ preferences for the parameters of simulations. The four-equation algorithm is easy to encode into a computer program. An example is given and an application is described. Incorporated into GEO, an Internet-based, computer-assisted international business simulation of a global economy, the algorithm organizes policy proposals submitted by participants for simulating direct and representational democracy.