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We briefly review statistical models for the probability distribution of money developed in the econophysics literature since the late 1990s. In these models, economic transactions are modeled as random transfers of money between the agents…

Statistical Finance · Quantitative Finance 2011-03-14 Victor M. Yakovenko

This Colloquium reviews statistical models for money, wealth, and income distributions developed in the econophysics literature since the late 1990s. By analogy with the Boltzmann-Gibbs distribution of energy in physics, it is shown that…

Statistical Finance · Quantitative Finance 2009-12-24 Victor M. Yakovenko , J. Barkley Rosser

Econophysics is a new area developed recently by the cooperation between economists, mathematicians and physicists. It's not a tool to predict future prices of stocks and exchange rates. It applies idea, method and models in Statistical…

Soft Condensed Matter · Physics 2007-05-23 Yougui Wang , Jinshan Wu , Zengru Di

In the present paper, we identify several distributions from Physics and study their applicability to phenomena such as distribution of income, wealth, and expenditure. Firstly, we apply logistic distribution to these data and we find that…

General Finance · Quantitative Finance 2016-03-29 Elvis Oltean

Econophysics is an approach to quantitative economy using ideas, models, conceptual and computational methods of statistical physics. In recent years many of physical theories like theory of turbulence, scaling, random matrix theory or…

Condensed Matter · Physics 2007-05-23 Z. Burda , J. Jurkiewicz , M. A. Nowak

This Chapter reviews statistical models for the probability distribution of money developed in the econophysics literature since the late 1990s. In these models, economic transactions are modeled as random transfers of money between the…

Statistical Finance · Quantitative Finance 2012-04-10 Victor M. Yakovenko

The conventional economic approaches explore very little about the dynamics of the economic systems. Since such systems consist of a large number of agents interacting nonlinearly they exhibit the properties of a complex system. Therefore…

General Physics · Physics 2012-04-01 B. G. Sharma , Sadhana Agrawal , Malti Sharma , D. P. Bisen , Ravi Sharma

The enterprise of trying to explain different social and economic phenomena using concepts and ideas drawn from physics has a long history. Statistical mechanics, in particular, has been often seen as most likely to provide the means to…

Physics and Society · Physics 2019-06-28 Shakti N. Menon , V. Sasidevan , Sitabhra Sinha

This is an invited article for the Discussion and Debate special issue of The European Physical Journal Special Topics on the subject "Can Economics Be a Physical Science?" The first part of the paper traces the personal path of the author…

Economics · Quantitative Finance 2017-03-22 Victor M. Yakovenko

In this short paper, we overview and extend the results of our papers cond-mat/0001432, cond-mat/0008305, and cond-mat/0103544, where we use an analogy with statistical physics to describe probability distributions of money, income, and…

Statistical Mechanics · Physics 2008-12-02 Adrian A. Dragulescu , Victor M. Yakovenko

We discuss the relevance of studying ecology within the framework of Complexity Science from a statistical mechanics approach. Ecology is concerned with understanding how systems level properties emerge out of the multitude of interactions…

Populations and Evolution · Quantitative Biology 2007-09-14 Henrik Jeldtoft Jensen , Elsa Arcaute

This is a review about financial dependencies which merges efforts in econophysics and financial economics during the last few years. We focus on the most relevant contributions to the analysis of asset markets' dependencies, especially…

Statistical Finance · Quantitative Finance 2023-02-17 M. Raddant , T. Di Matteo

In a recent paper in this journal [J. Stat. Mech. (2009) P02037] we proposed a new, physically motivated, distribution function for modeling individual incomes having its roots in the framework of the k-generalized statistical mechanics.…

General Finance · Quantitative Finance 2012-12-07 F. Clementi , M. Gallegati , G. Kaniadakis

Most of the econometric and econophysics models have been borrowed from the statistical physics, and as a cosequence, a new interdisciplinary science called econophysics has emerged. In this paper we planned to extend the analogy between…

General Finance · Quantitative Finance 2008-12-02 Ion Spanulescu , Anca Gheorghiu

We discuss and analyze some recent literature that introduced pioneering methods in econophysics. In doing so, we review recent methods of estimating the volatility, volatility of volatility, and probability densities. These methods will…

Statistical Finance · Quantitative Finance 2023-01-25 Moawia Alghalith

Econophysics embodies the recent upsurge of interest by physicists into financial economics, driven by the availability of large amount of data, job shortage in physics and the possibility of applying many-body techniques developed in…

General Finance · Quantitative Finance 2008-12-02 G. Daniel , D. Sornette

The development of Econophysics is studied from the perspective of scientific communication networks. Papers in Econophysics published from 1992 to 2003 are collected. Then a weighted and directed network of scientific communication,…

Soft Condensed Matter · Physics 2007-05-23 Ying Fan , Menghui Li , Jiawei Chen , Liang Gao , Zengru Di , Jinshan Wu

This article is written for the online newspaper "The Photon" published by the Department of Physics, University of Maryland. The article describes econophysics research done in the group of Victor Yakovenko. It briefly surveys the subjects…

Statistical Mechanics · Physics 2008-12-02 Victor M. Yakovenko

The paper argues that attracting more economists and adopting a more-precise definition of dynamic complexity might help econophysics acquire more attention in the economics community and bring new lymph to economic research. It may be…

General Finance · Quantitative Finance 2020-02-03 Paolo Magrassi

This entry in the Encyclopedia of Complexity and Systems Science, Springer present a summary of some of the concepts and calculational tools that have been developed in attempts to apply statistical physics approaches to seismology. We…

Geophysics · Physics 2008-04-22 D. Sornette , M. J. Werner
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