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We consider an economy made of competing firms which are heterogeneous in their capital and use several inputs for producing goods. Their consumption policy is fixed rationally by maximizing a utility and their capital cannot fall below a…

Analysis of PDEs · Mathematics 2022-07-13 Yves Achdou , Guillaume Carlier , Quentin Petit , Daniela Tonon

Bias exists in how we pick leaders, who we perceive as being influential, and who we interact with, not only in society, but in organizational contexts. Drawing from leadership emergence and social influence theories, we investigate…

Multiagent Systems · Computer Science 2023-04-06 Andria L. Smith , Simon Heuschkel , Ksenia Keplinger , Charley M. Wu

We develop a dynamic multi-agent model of an interbank payment system where banks choose their level of available funds on the basis of private payoff maximisation. The model consists of the repetition of a simultaneous move stage game with…

Multiagent Systems · Computer Science 2007-05-23 Marco Galbiati , Kimmo Soramaki

Indirect competition emerged from the complex organization of human societies, and knowledge of the existing network topology may aid in developing effective strategies for success. Here, we propose an agent-based model of competition with…

General Finance · Quantitative Finance 2011-06-28 Erika Fille Legara , Anthony Longjas , Rene Batac

Agent-based modelling (ABM) is a facet of wider Multi-Agent Systems (MAS) research that explores the collective behaviour of individual `agents', and the implications that their behaviour and interactions have for wider systemic behaviour.…

Multiagent Systems · Computer Science 2022-10-14 Nick Malleson , Mark Birkin , Daniel Birks , Jiaqi Ge , Alison Heppenstall , Ed Manley , Josie McCulloch , Patricia Ternes

We consider the problem of governing systemic risk in an assets-liabilities dynamical model of banking system. In the model considered each bank is represented by its assets and its liabilities.The capital reserves of a bank are the…

Risk Management · Quantitative Finance 2019-05-30 Lorella Fatone , Francesca Mariani

Agent-based modeling is a paradigm of modeling dynamic systems of interacting agents that are individually governed by specified behavioral rules. Training a model of such agents to produce an emergent behavior by specification of the…

Machine Learning · Computer Science 2019-10-11 Karan K. Budhraja , Hang Gao , Tim Oates

Inspired by recent ideas on how the analysis of complex financial risks can benefit from analogies with independent research areas, we propose an unorthodox framework for mapping microfinance credit risk---a major obstacle to the…

Risk Management · Quantitative Finance 2018-11-21 Joung-Hun Lee , Marko Jusup , Boris Podobnik , Yoh Iwasa

Leading agent-based trust models address two important needs. First, they show how an agent may estimate the trustworthiness of another agent based on prior interactions. Second, they show how agents may share their knowledge in order to…

Multiagent Systems · Computer Science 2014-01-17 Yonghong Wang , Chung-Wei Hang , Munindar P. Singh

We study an agent-based model of evolution of wealth distribution in a macro-economic system. The evolution is driven by multiplicative stochastic fluctuations governed by the law of proportionate growth and interactions between agents. We…

Physics and Society · Physics 2019-11-22 Zdzislaw Burda , Pawel Wojcieszak , Konrad Zuchniak

In this paper, we analyze dynamic programming as a novel approach to solve the problem of maximizing the profits of a bank. The mathematical model of the problem and the description of a bank's work is described in this paper. The problem…

General Finance · Quantitative Finance 2016-11-04 Oleg Malafeyev , Achal Awasthi

We introduce an agent-based model for co-evolving opinion and social dynamics, under the influence of multiplicative noise. In this model, every agent is characterized by a position in a social space and a continuous opinion state variable.…

Dynamical Systems · Mathematics 2022-10-05 Natasa Djurdjevac Conrad , Jonas Köppl , Ana Djurdjevac

We propose a Markov jump process with the three-state herding interaction. We see our approach as an agent-based model for the financial markets. Under certain assumptions this agent-based model can be related to the stochastic description…

Trading and Market Microstructure · Quantitative Finance 2013-02-05 Aleksejus Kononovicius , Vygintas Gontis

We review existing approaches to mathematical modeling and analysis of multi-agent systems in which complex collective behavior arises out of local interactions between many simple agents. Though the behavior of an individual agent can be…

Robotics · Computer Science 2007-05-23 Kristina Lerman , Aram Galstyan , Tad Hogg

Following the paradigm set by attraction-repulsion-alignment schemes, a myriad of individual based models have been proposed to calculate the evolution of abstract agents. While the emergent features of many agent systems have been…

Physics and Society · Physics 2019-05-03 Rafael Bailo , José A. Carrillo , Pierre Degond

Immersive rooms are increasingly popular augmented reality systems that support multi-agent interactions within a virtual world. However, despite extensive content creation and technological developments, insights about perceptually-driven…

Human-Computer Interaction · Computer Science 2025-12-22 Jerry M. Huang , Stefan T. Radev

In Probabilistic Risk Management, risk is characterized by two quantities: the magnitude (or severity) of the adverse consequences that can potentially result from the given activity or action, and by the likelihood of occurrence of the…

Artificial Intelligence · Computer Science 2009-10-07 Eric Daudé , Pierrick Tranouez , Patrice Langlois

We describe a bottom-up framework, based on the identification of appropriate order parameters and determination of phase diagrams, for understanding progressively refined agent-based models and simulations of financial markets. We…

Trading and Market Microstructure · Quantitative Finance 2015-06-04 Ribin Lye , James Peng Lung Tan , Siew Ann Cheong

A dynamic model of the social relations between workers and capitalists is introduced. The model is deduced from the assumption that the law of value is an organising principle of modern economies. The model self-organises into a dynamic…

Condensed Matter · Physics 2011-03-24 Ian Wright

Agents buy and sell services. All services are of equal quality. Buyers choose sellers at random. Monetary and fiscal policies are imposed by a central bank and a central government. Credit is supplied by a commercial banking system.…

General Finance · Quantitative Finance 2011-02-03 Robert W. Easton