English
Related papers

Related papers: A Causal Construction of Diffusion Processes

200 papers

We construct rich vector spaces of continuous functions with prescribed curved or linear pathwise quadratic variations. We also construct a class of functions whose quadratic variation may depend in a local and nonlinear way on the function…

Probability · Mathematics 2019-07-02 Yuliya Mishura , Alexander Schied

We study short-horizon forecasting in financial time series under strict causal constraints, treating the market as a non-stationary stochastic system in which any predictive observable must be computable online from information available…

Computational Finance · Quantitative Finance 2026-01-01 Lucas A. Souza

Diffusion is a fundamental physical phenomenon with critical applications in fields such as metallurgy, cell biology, and population dynamics. While standard diffusion is well-understood, anomalous diffusion often requires complex non-local…

Statistical Mechanics · Physics 2026-01-16 Gabriel Barreiro , Vladimir Pérez-Veloz

Extending It\^o's formula to non-smooth functions is important both in theory and applications. One of the fairly general extensions of the formula, known as Meyer-It\^o, applies to one dimensional semimartingales and convex functions.…

Mathematical Finance · Quantitative Finance 2015-07-02 Ramin Okhrati , Uwe Schmock

Modern analyses of diffusion processes have proposed nonlinear versions of the Fokker-Planck equation to account for non-classical diffusion. These nonlinear equations are usually constructed on a phenomenological basis. Here we introduce a…

Statistical Mechanics · Physics 2009-11-11 Jean Pierre Boon , James F. Lutsko

In this study, we address causal inference when only observational data and a valid causal ordering from the causal graph are available. We introduce a set of flow models that can recover component-wise, invertible transformation of…

Machine Learning · Computer Science 2024-12-16 Minh Khoa Le , Kien Do , Truyen Tran

In this paper we re-examine the traditional problem of connecting the internal fluctuations of a system to its response to external forcings and extend the classical theory in order to be able to encompass also nonlinear processes. With…

Statistical Mechanics · Physics 2015-06-04 Valerio Lucarini , Matteo Colangeli

A causal scattering matrix is constructed by means of the mixed chronological and normal product of the free quantum fields of different variables. This scattering matrix does not contain the diverging integrals.

High Energy Physics - Theory · Physics 2010-11-04 Yury M. Zinoviev

When the causal relationship between X and Y is specified by a structural equation, the causal effect of X on Y is the expected rate of change of Y with respect to changes in X, when all other variables are kept fixed. This causal effect is…

Statistics Theory · Mathematics 2021-05-13 Wing Hung Wong

In this paper the distribution of charged particles is constructed under the approximation of ambipolar diffusion. The results of mathematical modelling in two-dimensional case taking into account the velocities of the system are presented.

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 P. Nefyodov , V. Reztsov , O. Riabinina

In cond-mat/0103603 Diffusion algebras have been introduced in the context of one-dimensional stochastic processes with exclusion in statistical mechanics. While this reference is focused on the needs of the physicist reader and thus states…

Quantum Algebra · Mathematics 2015-06-26 P. N. Pyatov , R. Twarock

We develop a nonanticipative calculus for functionals of a continuous semimartingale, using an extension of the Ito formula to path-dependent functionals which possess certain directional derivatives. The construction is based on a pathwise…

Probability · Mathematics 2013-02-05 Rama Cont , David-Antoine Fournié

Fractional calculus allows one to generalize the linear, one-dimensional, diffusion equation by replacing either the first time derivative or the second space derivative by a derivative of fractional order. The fundamental solutions of…

Statistical Mechanics · Physics 2007-05-23 Francesco Mainardi , Paolo Paradisi , Rudolf Gorenflo

We analyse deterministic diffusion in a simple, one-dimensional setting consisting of a family of four parameter dependent, chaotic maps defined over the real line. When iterated under these maps, a probability density function spreads out…

Chaotic Dynamics · Physics 2010-12-22 Georgie Knight , Rainer Klages

This paper gives a brief overview on the nonparametric techniques that are useful for financial econometric problems. The problems include estimation and inferences of instantaneous returns and volatility functions of time-homogeneous and…

Statistics Theory · Mathematics 2008-12-10 Jianqing Fan

We prove the main rules of causal calculus (also called do-calculus) for i/o structural causal models (ioSCMs), a generalization of a recently proposed general class of non-/linear structural causal models that allow for cycles, latent…

Machine Learning · Statistics 2022-08-31 Patrick Forré , Joris M. Mooij

We describe the mathematical theory of diffusion and heat transport with a view to including some of the main directions of recent research. The linear heat equation is the basic mathematical model that has been thoroughly studied in the…

Analysis of PDEs · Mathematics 2017-06-27 Juan Luis Vázquez

Ito equations are derived for simple stochastic cellular automaton with parameters and compared with results obtained from the histogram method. Good agreement for various parameters supports wide applicability of the Ito equation as a…

Cellular Automata and Lattice Gases · Physics 2012-04-18 Zbigniew Czechowski , Mariusz Białecki

We develop a novel approach towards causal inference. Rather than structural equations over a causal graph, we learn stochastic differential equations (SDEs) whose stationary densities model a system's behavior under interventions. These…

Machine Learning · Computer Science 2024-03-19 Lars Lorch , Andreas Krause , Bernhard Schölkopf

We study causal effect estimation in a setting where the data are not i.i.d. (independent and identically distributed). We focus on exchangeable data satisfying an assumption of independent causal mechanisms. Traditional causal effect…

Methodology · Statistics 2024-05-30 Siyuan Guo , Chi Zhang , Karthika Mohan , Ferenc Huszár , Bernhard Schölkopf