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The trade size $\omega$ has direct impact on the price formation of the stock traded. Econophysical analyses of transaction data for the US and Australian stock markets have uncovered market-specific scaling laws, where a master curve of…

Trading and Market Microstructure · Quantitative Finance 2012-10-08 Wei-Xing Zhou

We present an analysis of oil prices in US$ and in other major currencies that diagnoses unsustainable faster-than-exponential behavior. This supports the hypothesis that the recent oil price run-up has been amplified by speculative…

General Finance · Quantitative Finance 2009-02-04 D. Sornette , R. Woodard , W. -X. Zhou

In the field of global energy and environment, crude oil is an important strategic resource, and its price fluctuation has a far-reaching impact on the global economy, financial market and the process of low-carbon development. In recent…

Machine Learning · Computer Science 2024-09-20 Yuwen Zhao , Baojun Hu , Sizhe Wang

The European Union Emission Trading Scheme is a carbon emission allowance trading system designed by Europe to achieve emission reduction targets. The amount of carbon emission caused by production activities is closely related to the…

General Economics · Economics 2021-08-19 Peng-Fei Dai , Xiong Xiong , Toan Luu Duc Huynh , Jiqiang Wang

We consider the strategic interaction of $n$ investors who are able to influence a stock price process and at the same time measure their utilities relative to the other investors. Our main aim is to find Nash equilibrium investment…

Optimization and Control · Mathematics 2024-04-11 Nicole Bäuerle , Tamara Göll

We review the evidence that the erratic dynamics of markets is to a large extent of endogenous origin, i.e. determined by the trading activity itself and not due to the rational processing of exogenous news. In order to understand why and…

Statistical Finance · Quantitative Finance 2010-09-16 Jean-Philippe Bouchaud

Polynomial processes have the property that expectations of polynomial functions (of degree $n$, say) of the future state of the process conditional on the current state are given by polynomials (of degree $\leq n$) of the current state.…

Computational Finance · Quantitative Finance 2018-04-27 Damir Filipovic , Martin Larsson , Tony Ware

In this paper, we investigate the impact of the Distributed generation (DG) on Power Transmission Grid and pricing strategy for different geographical locations in different states, generally distributed generation (DG) on distribution…

Systems and Control · Electrical Eng. & Systems 2024-01-04 Mohsen Abedi

Whenever customers' choices (e.g. to buy or not a given good) depend on others choices (cases coined 'positive externalities' or 'bandwagon effect' in the economic literature), the demand may be multiply valued: for a same posted price,…

General Finance · Quantitative Finance 2015-03-20 Mirta B. Gordon , Jean-Pierre Nadal , Denis Phan , Viktoriya Semeshenko

This paper presents empirical evidence using recently developed techniques in econophysics suggesting that the degree of long-range dependence in interest rates depends on the conduct of monetary policy. We study the term structure of…

Data Analysis, Statistics and Probability · Physics 2008-12-02 Daniel O. Cajueiro , Benjamin M. Tabak

We consider situations where consumers are aware that a statistical model determines the price of a product based on their observed behavior. Using a novel experiment varying the context similarity between participant data and a product, we…

General Economics · Economics 2024-11-14 Inácio Bó , Li Chen , Rustamdjan Hakimov

I show that house prices can be modeled using machine learning (kNN and tree-bagging) and a small dataset composed of macro-economic factors (MEF), including an inflation metric (CPI), US treasury rates (10-yr), Gross Domestic Product…

Statistical Finance · Quantitative Finance 2025-05-16 Nicolas Houlié

Prices in financial markets exhibit extreme jumps far more often than can be accounted for by external news. Further, magnitudes of price changes are correlated over long times. These so called stylized facts are quantified by scaling laws…

Trading and Market Microstructure · Quantitative Finance 2016-05-04 Felix Patzelt , Klaus Pawelzik

We provide a theoretical framework to examine how carbon pricing policies influence inflation and to estimate the policy-driven impact on goods prices from achieving net-zero emissions. Firms control emissions by adjusting production,…

General Economics · Economics 2025-01-29 René Aïd , Maria Arduca , Sara Biagini , Luca Taschini

We find that the early impact of defense news shocks on GDP is mainly due to a rise in business inventories, as contractors ramp up production for new defense contracts. These contracts do not affect government spending (G) until…

General Economics · Economics 2023-05-17 Edoardo Briganti , Victor Sellemi

In this Letter we study the effects of the Modified Uncertainty Principle as proposed in [8] on the inflationary dynamics of the early universe in both standard and Randall-Sundrum type II scenarios. We find that the quantum gravitational…

High Energy Physics - Phenomenology · Physics 2012-02-27 Barun Majumder

This paper considers the reliability problem in energy-only markets. Following widespread blackouts in 2011, Texas introduced a reliability price incentive to attract two GW of net additional natural gas-generating capacity. The incentive…

General Economics · Economics 2024-06-25 Devin Mounts , Robin M. Cross

Extreme political shocks may reshape economies not only through contemporaneous disruption but by altering beliefs about the distribution of future states. We study how such belief ruptures affect the cost of capital, expectations, and…

General Economics · Economics 2026-01-29 Riste Ichev , Rok Spruk

We demonstrate that minority mechanisms arise in the dynamics of markets because of effects of price impact; accordingly the relative importance of minority and delayed majority mechanisms depends on the frequency of trading. We then use…

Statistical Mechanics · Physics 2008-12-02 Damien Challet , Tobias Galla

We estimate the causal effect of external debt on greenhouse gas emissions in a panel of 78 emerging market and developing economies over the 1990-2015 period. Unlike previous literature, we use external instruments to address the potential…

General Economics · Economics 2024-04-23 Jorge Carrera , Pablo de la Vega
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