The Microcosm Principle and Concurrency in Coalgebra ---------------------------------------------------- Ichiro Hasuo, Bart Jacobs and Ana Sokolova ---------------------------------------------------- Abstract: --------------------------------------------------------------------------------------------- Our initial question is: How to specify a parallel composition of transition systems as coalgebras that is guaranteed to be at least associative and compositional? The answer lies in recognizing algebraic structure in the base category and its compatibility with the coalgebra-type functor. Our results apply to both possibilistic and probabilistic systems and to both bisimilarity and trace semantics. Parallel composition is defined on the level of systems but it also induces parallel composition on states (in a final coalgebra). The two are shown to be related via the compositionality result. This phenomenon is an instance of what Baez and Dolan have called the ``microcosm principle": parallel composition is defined inside a category with parallel composition, just like a monoid is defined in a monoidal category. We generalize such nested results in two steps: to algebraic specifications (signatures with equations) and further to 2-categorical treatment of Lawvere theories. ----------------------------------------------------------------------------------------------