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This paper contains a phenomenological description of the whole U.S. forward rate curve (FRC), based on an data in the period 1990-1996. We find that the average FRC (measured from the spot rate) grows as the square-root of the maturity,…

Statistical Mechanics · Physics 2016-08-31 J. -P. Bouchaud , N. Sagna , R. Cont , N. El-Karoui , M. Potters

In this paper we propose a look at the capital risk problem inspired by deterministic, known from classical mechanics, problem of juggling. We propose capital equivalents to the Newton's laws of motion and on this basis we determine the…

Risk Management · Quantitative Finance 2008-12-02 Anna Szczypinska , Edward W. Piotrowski

In this paper, we investigate a financial market model consisting of a risky asset, modeled as a general diffusion parameterized by a scale function and a speed measure, and a bank account process with a constant interest rate. This…

Mathematical Finance · Quantitative Finance 2025-12-09 Alexis Anagnostakis , David Criens , Mikhail Urusov

The frequency of the preferred order for a noun phrase formed by demonstrative, numeral, adjective and noun has received significant attention over the last two decades. We investigate the actual distribution of the 24 possible orders.…

Computation and Language · Computer Science 2026-01-23 Ramon Ferrer-i-Cancho

This work deals with an optimal asset allocation problem for a defined contribution (DC) pension plan during its accumulation phase. The contribution rate is proportional to the individual's salary, the dynamics of which follows a Heston…

Optimization and Control · Mathematics 2021-03-04 Xiaoyi Zhang , Linlin Tian

The paper discusses the role of monetary policy when potential output depends on the inflation rate. If the intention of the central bank is to maximize actual output growth, then it has to be credibly committed to a strict inflation…

General Finance · Quantitative Finance 2014-03-26 Dominique Pepin

We consider a structural credit model for a large portfolio of credit risky assets where the correlation is due to a market factor. By considering the large portfolio limit of this system we show the existence of a density process for the…

Pricing of Securities · Quantitative Finance 2011-04-05 Nick Bush , Ben M. Hambly , Helen Haworth , Lei Jin , Christoph Reisinger

We consider the relationship between economic activity and intervention, including monetary and fiscal policy, using a universal dynamic framework. Central bank policies are designed for growth without excess inflation. However,…

Physics and Society · Physics 2018-01-01 Yaneer Bar-Yam , Jean Langlois-Meurinne , Mari Kawakatsu , Rodolfo Garcia

The disbalance of Supply and Demand is typically considered as the driving force of the markets. However, the measurement or estimation of Supply and Demand at price different from the execution price is not possible even after the…

Economics · Quantitative Finance 2016-02-16 Vladislav Gennadievich Malyshkin

The report considers the dynamics of the global population as the unique case of the Socio-Economic Soft Matter system. This category was introduced for complex systems dominated by mesoscale assemblies, emerging due to the inherent…

Physics and Society · Physics 2022-09-07 Agata Angelika Rzoska , Aleksandra Drozd-Rzoska

The quantum-to-classical correspondence is often quantified in dynamics by a quantity referred to as the out-of-time-order correlator (OTOC). In chaotic systems, the OTOC is expected to grow exponentially at early time, characteristic of a…

Quantum Physics · Physics 2023-03-24 Hui Li , Eli Halperin , Reuben R. W. Wang , John L. Bohn

A growth equation with a generalized conservation law characterized by an integral kernel is introduced. The equation contains the Kardar-Parisi-Zhang, Sun-Guo-Grant, and Molecular-Beam Epitaxy growth equations as special cases and allows…

Condensed Matter · Physics 2007-05-23 Kent Baekgaard Lauritsen

We propose martingale consumption as a natural, desirable consumption pattern for any given (proportional) investment strategy. The idea is to always adjust current consumption so as to achieve level expected future consumption under the…

Mathematical Finance · Quantitative Finance 2025-05-28 Peter Holm Nielsen

In the present article, we review a continual effort on generalization of the Trotter formula to higher-order exponential product formulas. The exponential product formula is a good and useful approximant, particularly because it conserves…

Mathematical Physics · Physics 2011-11-10 Naomichi Hatano , Masuo Suzuki

A theoretical self-sustainable economic model is established based on the fundamental factors of production, consumption, reservation and reinvestment, where currency is set as a unconditional credit symbol serving as transaction equivalent…

General Economics · Economics 2018-07-23 Ran Huang

Politicians world-wide frequently promise a better life for their citizens. We find that the probability that a country will increase its {\it per capita} GDP ({\it gdp}) rank within a decade follows an exponential distribution with decay…

General Finance · Quantitative Finance 2012-09-14 Boris Podobnik , Davor Horvatic , Dror Y. Kenett , H. Eugene Stanley

This paper presents a model that studies the impact of credit expansions arising from increases in collateral values or lower interest rate policies on long-run productivity and economic growth in a two-sector endogenous growth economy,…

Theoretical Economics · Economics 2024-05-10 Tomohiro Hirano , Joseph E. Stiglitz

This paper analyses the impact of credit expansions arising from decreases in collateral requirements or more expansionary monetary policies on long-term productivity in a model with endogenous growth. Credit expansions associated with…

Theoretical Economics · Economics 2026-02-23 Tomohiro Hirano , Joseph E. Stiglitz

Growth rate of the world Growth Domestic Product (GDP) is analysed to determine possible pathways of the future economic growth. The analysis is based on using the latest data of the World Bank and it reveals that the growth rate between…

General Finance · Quantitative Finance 2015-11-03 Ron W Nielsen

Mathematical modelling for population growth leads to a differential equation. In population growth model, we assume that rate increase of population is proportional to current population. That is, dx / dt = kx, x is a current population, k…

General Mathematics · Mathematics 2017-12-12 U. M. Pirzada