Random trading market: Drawbacks and a realistic modification
Physics and Society
2007-05-23 v1
Abstract
We point out some major drawbacks in random trading market models and propose a realistic modification which overcomes such drawbacks through `sensible trading'. We apply such trading policy in different situations: a) Agents with zero saving factor b) with constant saving factor and c) with random saving factor --in all the cases the richer agents seem to follow power laws in terms of their wealth (money) distribution which support Pareto's observation.
Keywords
Cite
@article{arxiv.physics/0503105,
title = {Random trading market: Drawbacks and a realistic modification},
author = {Srutarshi Pradhan},
journal= {arXiv preprint arXiv:physics/0503105},
year = {2007}
}
Comments
8 pages, 3 figures