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A minimal model of a market of myopic non-cooperative agents who trade bilaterally with random bids reproduces qualitative features of short-term electric power markets, such as those in California and New England. Each agent knows its own…

Trading and Market Microstructure · Quantitative Finance 2009-05-15 Randall A. LaViolette , Lory A. Ellebracht , Kevin L. Stamber , Charles J. Gieseler , Benjamin K. Cook

We propose a series of simple models for the microstructure of a double auction market without intermediaries. We specialize to those markets, such interdealer broker markets, which are dominated by professional traders, who trade mainly…

Statistical Mechanics · Physics 2008-12-02 David Eliezer , Ian I. Kogan

In this paper the diffusion entropy technique is applied to investigate the scaling behavior of financial markets. The scaling behaviors of four representative stock markets, Dow Jones Industrial Average, Standard&Poor 500, Heng Seng Index,…

Physics and Society · Physics 2007-05-23 Shi-Min Cai , Pei-Ling Zhou , Hui-Jie Yang , Chun-Xia Yang , Bing-Hong Wang , Tao Zhou

Transportation networks are inevitably selected with reference to their global cost which depends on the strengths and the distribution of the embedded currents. We prove that optimal current distributions for a uniformly injected…

Statistical Mechanics · Physics 2015-05-13 Filippo Simini , Andrea Rinaldo , Amos Maritan

Describing particle transport at the macroscopic or mesoscopic level in non-ideal environments poses fundamental theoretical challenges in domains ranging from inter and intra-cellular transport in biology to diffusion in porous media. Yet,…

Statistical Mechanics · Physics 2013-09-11 Marta Galanti , Duccio Fanelli , Francesco Piazza

Using a model of wealth distribution where traders are characterized by quenched random saving propensities and trade among themselves by bipartite transactions, we mimic the enhanced rates of trading of the rich by introducing the…

General Finance · Quantitative Finance 2015-05-14 Abhijit Chakraborty , S. S. Manna

In this paper we construct numerical schemes to approximate linear transport equations with slab geometry by diffusion equations. We treat both the case of pure diffusive scaling and the case where kinetic and diffusive scalings coexist.…

Numerical Analysis · Mathematics 2015-05-18 Qin Li , Jianfeng Lu , Weiran Sun

We analyse diffusion dynamics on weakly-coupled networks (interconnected networks) by means of separation of time scales. Using an adiabatic approximation we reduced the system dynamics to a Markov chain with aggregated variables and…

Chaotic Dynamics · Physics 2018-12-14 Grzegorz Siudem , Janusz A. Hołyst

We present a purely probabilistic proof of propagation of molecular chaos for $N$-particle systems in dimension $3$ with interaction forces scaling like $1/\vert q\vert^{\lambda}$ with $\lambda<2$ and cut-off at $q = N^{-1/3}$. The proof…

Mathematical Physics · Physics 2015-09-07 Niklas Boers , Peter Pickl

The diffusion of ideas and language in society has conventionally been described by S-shaped models, such as the logistic curve. However, the role of sub-exponential growth -- a slower-than-exponential pattern known in epidemiology -- has…

Physics and Society · Physics 2026-05-22 Hayafumi Watanabe

We study diffusion of information packets on several classes of structured networks. Packets diffuse from a randomly chosen node to a specified destination in the network. As local transport rules we consider random diffusion and an…

Statistical Mechanics · Physics 2015-06-24 Bosiljka Tadic , Stefan Thurner

The hydrodynamic phase field model is applied to the problem of film spreading on a solid surface. The disjoining potential, responsible for modification of the fluid properties near a three-phase contact line, is computed from the…

Fluid Dynamics · Physics 2009-11-06 Len M. Pismen , Yves Pomeau

In this paper, we quantitatively investigate the statistical properties of a statistical ensemble of stock prices. We selected 1200 stocks traded on the Tokyo Stock Exchange, and formed a statistical ensemble of daily stock prices for each…

Physics and Society · Physics 2015-06-26 Taisei Kaizoji

Barab\'asi-Albert's `Scale Free' model is the starting point for much of the accepted theory of the evolution of real world communication networks. Careful comparison of the theory with a wide range of real world networks, however,…

Physics and Society · Physics 2017-09-11 Philip Tee , Ian Wakeman , George Parisis , Jonathan Dawes , István Z. Kiss

We study the asymptotic behaviour of the distance to the first available parking slot in a recursive Manhattan street network endowed with a hyperfractal intensity structure, where slot-release events occur according to Poisson processes…

Probability · Mathematics 2026-04-29 Geoffrey Deperle , Christine Fricker , Philippe Jacquet , Alessia Rigonat , Bernard Mans

The research is important for a molecular theory of liquid and has a wide interest as an example solving the problem when dynamic parameters of systems can be indirectly connected with their equilibrium properties. In frameworks of the…

Disordered Systems and Neural Networks · Physics 2007-05-23 Andrei N. Yakunin

We introduce a mean-field type approximation for description of company's income statistics. Utilizing huge company data we show that a discrete version of Langevin equation with additive and multiplicative noises can appropriately describe…

Statistical Mechanics · Physics 2015-06-24 Takayuki Mizuno , Misako Takayasu , Hideki Takayasu

Weighted reciprocity between two agents can be defined as the minimum of sending and receiving value in their bilateral relationship. In financial networks, such reciprocity characterizes the importance of individual banks as both liquidity…

Computational Finance · Quantitative Finance 2024-12-16 Lutz Honvehlmann

We introduce a non-growth model that generates the power-law distribution with the Zipf exponent. There are N elements, each of which is characterized by a quantity, and at each time step these quantities are redistributed through binary…

Statistical Mechanics · Physics 2012-04-27 Suhan Ree

Contrary to all the 2D models, where the reconnection x-line extent is infinitely long, we study magnetic reconnection in the opposite limit. The scaling of the average reconnection rate and outflow speed are modeled as a function of the…

Space Physics · Physics 2020-10-28 Kai Huang , Yi-Hsin Liu , Quanming Lu , Michael Hesse