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We consider the design of prediction market mechanisms known as automated market makers. We show that we can design these mechanisms via the mold of \emph{exponential family distributions}, a popular and well-studied probability…

Artificial Intelligence · Computer Science 2014-02-25 Jacob Abernethy , Sindhu Kutty , Sébastien Lahaie , Rahul Sami

Cellular Automata are discrete--time dynamical systems on a spatially extended discrete space which provide paradigmatic examples of nonlinear phenomena. Their stochastic generalizations, i.e., Probabilistic Cellular Automata, are discrete…

Statistical Mechanics · Physics 2016-07-06 Emilio N. M. Cirillo , Francesca R. Nardi , Cristian Spitoni

In this work, an ensemble of economic interacting agents is considered. The agents are arranged in a linear array where only local couplings are allowed. The deterministic dynamics of each agent is given by a map. This map is expressed by…

General Finance · Quantitative Finance 2008-12-02 R. Lopez-Ruiz , J. Gonzalez-Estevez , M. G. Cosenza , J. R. Sanchez

Using the Panel Study of Income Dynamics data on the period 1982-1992, this paper investigates some mechanisms of the labor market in the United States. This market is analyzed as a stable structure constituted of segments which present…

Statistics Theory · Mathematics 2007-06-13 Patrice Gaubert , Marie Cottrell

We investigate a game-theoretic model of a social system where both the rules of the game and the interaction structure are shaped by the behavior of the agents. We call this type of model, with several types of feedback couplings from the…

Populations and Evolution · Quantitative Biology 2016-11-25 Sungmin Lee , Petter Holme , Zhi-Xi Wu

In this paper, we study spectrum allocation mechanisms in hierarchical multi-layer markets which are expected to proliferate in the near future based on the current spectrum policy reform proposals. We consider a setting where a state…

Networking and Internet Architecture · Computer Science 2015-03-19 George Iosifidis , Anil Kumar Chorppath , Tansu Alpcan , Iordanis Koutsopoulos

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

We present an agent behavior based microscopic model for diffusion price processes. As such we provide a model not only containing a convenient framework for describing socio-economic behavior, but also a sophisticated link to price…

Probability · Mathematics 2016-06-28 Christof Henkel

We study the evolution of social clusters, in an analogy with physical spin systems, and in detail show the importance of the concept of the "self" of each agent with quantifiable variable attributes. We investigate the effective influence…

Adaptation and Self-Organizing Systems · Physics 2008-06-03 Fariel Shafee

In this study we present a dynamical agent-based model to investigate the interplay between the socio-economy of and SEIRS-type epidemic spreading over a geographical area, divided to smaller area districts and further to smallest area…

Physics and Society · Physics 2022-07-20 Jan E. Snellman , Rafael A. Barrio , Kimmo K. Kaski , Maarit J. Käpylä

We introduce a simple benchmark model of dynamic matching in networked markets, where agents arrive and depart stochastically and the network of acceptable transactions among agents forms a random graph. We analyze our model from three…

Computer Science and Game Theory · Computer Science 2014-02-18 Mohammad Akbarpour , Shengwu Li , Shayan Oveis Gharan

Financial markets change their behaviours abruptly. The mean, variance and correlation patterns of stocks can vary dramatically, triggered by fundamental changes in macroeconomic variables, policies or regulations. A trader needs to adapt…

Statistical Finance · Quantitative Finance 2018-12-07 Sonam Srivastava , Ritabratta Bhattacharya

Stability and analysis of multi-agent network systems with state-dependent switching typologies have been a fundamental and longstanding challenge in control, social sciences, and many other related fields. These already complex systems…

Systems and Control · Computer Science 2018-12-27 S. Rasoul Etesami

An agent-based model for firms' dynamics is developed. The model consists of firm agents with identical characteristic parameters and a bank agent. Dynamics of those agents is described by their balance sheets. Each firm tries to maximize…

General Finance · Quantitative Finance 2009-01-14 Hiroshi Iyetomi , Hideaki Aoyama , Yoshi Fujiwara , Yuichi Ikeda , Wataru Souma

We present a simple model of a non-equilibrium self-organizing market where asset prices are partially driven by investment decisions of a bounded-rational agent. The agent acts in a stochastic market environment driven by various exogenous…

Computational Finance · Quantitative Finance 2018-05-18 Igor Halperin , Ilya Feldshteyn

We discuss recent work in the study of a simple model for the collective behaviour of diverse speculative agents in an idealized stockmarket, considered from the perspective of the statistical physics of many-body systems. The only…

Disordered Systems and Neural Networks · Physics 2007-05-23 J. P. Garrahan , E. Moro , D. Sherrington

Using as a narrative theme the example of Darwin's finches, a microscopic agent-based model is introduces to study sympatric speciation as a result of competition for resources in the same ecological niche. Varying competition among…

Populations and Evolution · Quantitative Biology 2025-11-13 Franco Bagnoli , Tommaso Matteuzzi

We study discrete dynamical systems through the topological concepts of limit set, which consists of all points that can be reached arbitrarily late, and asymptotic set, which consists of all adhering values of orbits. In particular, we…

Dynamical Systems · Mathematics 2011-10-20 Guillon Pierre , Richard Gaétan

Complementarity is one of the main features underlying the interactions in biological and biochemical systems. Inspired by those systems we propose a model for the dynamical evolution of a system composed by agents that interact due to…

Disordered Systems and Neural Networks · Physics 2009-11-07 M. Copelli , R. M. Zorzenon dos Santos , J. S. Sa Martins

Although both data availability and the demand for accurate forecasts are increasing, collaboration between stakeholders is often constrained by data ownership and competitive interests. In contrast to recent proposals within cooperative…

Machine Learning · Computer Science 2026-05-14 Michael Vitali , Pierre Pinson
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