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We consider a class of biologically-motivated stochastic processes in which a unicellular organism divides its resources (volume or damaged proteins, in particular) symmetrically or asymmetrically between its progeny. Assuming the final…

Quantitative Methods · Quantitative Biology 2016-07-20 Andrew Marantan , Ariel Amir

We propose a data-driven Neural Network (NN) optimization framework to determine the optimal multi-period dynamic asset allocation strategy for outperforming a general stochastic target. We formulate the problem as an optimal stochastic…

Computational Finance · Quantitative Finance 2020-06-30 Chendi Ni , Yuying Li , Peter Forsyth , Ray Carroll

A model for economic behavior, under heterogeneous spatial economic conditions is developed. The role of selection pressure in a Bak-Sneppen-like dynamics with entity diffusion on a lattice is studied by Monte-Carlo simulation taking into…

Physics and Society · Physics 2015-06-26 Marcel Ausloos , Paulette Clippe , Andrzej Pekalski

Data from national accounts show no effect of change in net saving or consumption, in ratio to market-value capital, on change in growth rate of market-value capital (capital acceleration). Thus it appears that capital growth and…

General Economics · Economics 2026-03-31 Gordon Getty , Nikita Tkachenko

We consider a stochastic game-theoretic model of an investment market in continuous time with short-lived assets and study strategies, called survival, which guarantee that the relative wealth of an investor who uses such a strategy remains…

Mathematical Finance · Quantitative Finance 2019-09-06 Mikhail Zhitlukhin

For a binary choice problem, the spatial coordination of decisions in an agent community is investigated both analytically and by means of stochastic computer simulations. The individual decisions are based on different local information…

Statistical Mechanics · Physics 2009-11-07 Frank Schweitzer , Joerg Zimmermann , Heinz Muehlenbein

The classical modeling of spatial extremes relies on asymptotic models (i.e., max-stable processes or $r$-Pareto processes) for block maxima or peaks over high thresholds, respectively. However, at finite levels, empirical evidence often…

Methodology · Statistics 2020-09-15 Raphaël Huser , Jennifer L. Wadsworth

Feedback optimisation is an emerging technique aiming at steering a system to an optimal steady state for a given objective function. We show that it is possible to employ this control strategy in a distributed manner. Moreover, we prove…

Optimization and Control · Mathematics 2022-03-01 Antonio Terpin , Sylvain Fricker , Michel Perez , Mathias Hudoba de Badyn , Florian Dörfler

Kinetic exchange models have been successful in explaining the shape of the income/wealth distribution in the economies. However, such models usually make some ad-hoc assumptions when it comes to determining the savings factor. Here, we…

Trading and Market Microstructure · Quantitative Finance 2010-06-28 Anindya S. Chakrabarti

In many physical situations, there appears the problem of reaching a single target that is spatially distributed. Here we analyse how stochastic resetting, also spatially distributed, can be used to improve the search process when the…

Statistical Mechanics · Physics 2023-11-22 Gregorio García-Valladares , Carlos A. Plata , Antonio Prados , Alessandro Manacorda

We prove a general existence result in stochastic optimal control in discrete time where controls take values in conditional metric spaces, and depend on the current state and the information of past decisions through the evolution of a…

Optimization and Control · Mathematics 2018-12-19 Asgar Jamneshan , Michael Kupper , José Miguel Zapata

Capital allocation principles are used in various contexts in which a risk capital or a cost of an aggregate position has to be allocated among its constituent parts. We study capital allocation principles in a performance measurement…

Risk Management · Quantitative Finance 2014-07-15 Eduard Kromer , Ludger Overbeck

We study here numerically the behavior of an ideal gas like model of markets having only one non-consumable commodity. We investigate the behavior of the steady-state distributions of money, commodity and total wealth, as the dynamics of…

Physics and Society · Physics 2009-11-13 Arnab Chatterjee , Bikas K. Chakrabarti

We study high-dimensional stochastic optimal control problems in which many agents cooperate to minimize a convex cost functional. We consider both the full-information problem, in which each agent observes the states of all other agents,…

Probability · Mathematics 2023-01-10 Joe Jackson , Daniel Lacker

One of the most significant findings in the study of spatial Solow-Swan models is the emergence of economic agglomeration, in which economic activities concentrate in specific regions. Such agglomeration provides a fundamental mechanism…

Analysis of PDEs · Mathematics 2025-10-23 Fanze Kong , Jiayi Sun , Shuangquan Xie

Endogenous, ideas-led, growth theory and agent based modelling with neighbourhood effects literature are crossed. In an economic overlapping generations framework, it is shown how social interactions and neighbourhood effects are of vital…

Adaptation and Self-Organizing Systems · Physics 2007-05-23 Tanya Araujo , Miguel St. Aubyn

We have shown, in a series of articles, that a classical description of a large number of economic agents can be replaced by a statistical fields formalism. To better understand the accumulation and allocation of capital among different…

General Finance · Quantitative Finance 2024-01-15 Pierre Gosselin , Aïleen Lotz

Behavioral Finance has become a challenge to the scientific community. Based on the assumption that behavioral aspects of investors may explain some features of the Stock Market, we propose an agent based model to study quantitatively this…

General Finance · Quantitative Finance 2017-11-23 F. M. Stefan , A. P. F. Atman

This paper links matching markets with aligned preferences to optimal transport theory. We show that stability, efficiency, and fairness emerge as solutions to a parametric family of optimal transport problems. The parameter reflects…

Theoretical Economics · Economics 2025-03-17 Federico Echenique , Joseph Root , Fedor Sandomirskiy

We investigate consensus formation and the asymptotic consensus times in stylized individual- or agent-based models, in which global agreement is achieved through pairwise negotiations with or without a bias. Considering a class of…

Physics and Society · Physics 2011-06-30 W. Zhang , C. Lim , S. Sreenivasan , J. Xie , B. K. Szymanski , G. Korniss
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