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In this article the problem of reconstructing the pattern of connection between agents from partial empirical data in a macro-economic model is addressed, given a set of behavioral equations. This systemic point of view puts the focus on…

General Economics · Economics 2019-01-30 Aurélien Hazan

A broad set of empirical phenomenon in the study of social, economic and machine behaviour can be modelled as complex systems with averaging dynamics. However many of these models naturally result in consensus or consensus-like outcomes. In…

Multiagent Systems · Computer Science 2020-07-03 Orowa Sikder

General equilibrium macroeconomic models are a core tool used by policymakers to understand a nation's economy. They represent the economy as a collection of forward-looking actors whose behaviours combine, possibly with stochastic effects,…

General Economics · Economics 2021-04-01 Edward Hill , Marco Bardoscia , Arthur Turrell

This paper proposes two distinct contributions to econometric analysis of large information sets and structural instabilities. First, it treats a regression model with time-varying coefficients, stochastic volatility and exogenous…

Methodology · Statistics 2020-04-27 Dimitris Korobilis

The pedestrian flow is one of the most complex systems, involving large populations of interacting agents. Models at microscopic and macroscopic scales offer different advantages for studying related problems. In general, microscopic models…

Adaptation and Self-Organizing Systems · Physics 2026-01-27 Liangze Yang , Hui Yu , Jie Du

A microeconomic approach is proposed to derive the fluctuations of risky asset price, where the market participants are modeled as prospect trading agents. As asset price is generated by the temporary equilibrium between demand and supply,…

Pricing of Securities · Quantitative Finance 2014-01-31 Yipeng Yang , Allanus Tsoi

Masanao Aoki developed a new methodology for a basic problem of economics: deducing rigorously the macroeconomic dynamics as emerging from the interactions of many individual agents. This includes deduction of the fractal / intermittent…

General Finance · Quantitative Finance 2014-01-30 Sorin Solomon , Natasa Golo

Economy is demanding new models, able to understand and predict the evolution of markets. To this respect, Econophysics is offering models of markets as complex systems, such as the gas-like model, able to predict money distributions…

Chaotic Dynamics · Physics 2010-08-05 Carmen Pellicer-Lostao , Ricardo Lopez-Ruiz

A microscopic approach to macroeconomic features is intended. A model for macroeconomic behavior under heterogeneous spatial economic conditions is reviewed. A birth-death lattice gas model taking into account the influence of an economic…

Statistical Mechanics · Physics 2009-11-10 Marcel Ausloos , Paulette Clippe , Janusz Miśkiewicz , Andrzej Pekalski

We show that financial correlations exhibit a non-trivial dynamic behavior. We introduce a simple phenomenological model of a multi-asset financial market, which takes into account the impact of portfolio investment on price dynamics. This…

Physics and Society · Physics 2009-11-11 Giacomo Raffaelli , Matteo Marsili

Physical understanding of how the interplay between symmetries and nonlinear effects can control the scaling and multiscaling properties in a coupled driven system, such as magnetohydrodynamic turbulence or turbulent binary fluid mixtures,…

Statistical Mechanics · Physics 2021-03-23 Sudip Mukherjee , Abhik Basu

We study systems of interacting reinforced stochastic processes, where agents' decisions evolve under reinforcement, network-mediated interactions, and environmental influences. In competitive environments with irreducible networks, we…

Probability · Mathematics 2025-09-18 Michele Aleandri , Paolo Dai Pra , Ida Germana Minelli

In this study, we developed a computational framework for simulating large-scale agent-based financial markets. Our platform supports trading multiple simultaneous assets and leverages distributed computing to scale the number and…

Trading and Market Microstructure · Quantitative Finance 2024-02-01 Aaron Wheeler , Jeffrey D. Varner

We develop a dynamic multi-agent model of an interbank payment system where banks choose their level of available funds on the basis of private payoff maximisation. The model consists of the repetition of a simultaneous move stage game with…

Multiagent Systems · Computer Science 2007-05-23 Marco Galbiati , Kimmo Soramaki

We consider the randomness of market trade as the origin of price and return stochasticity. We look at time series of trade values and volumes as random variables during the averaging interval {\Delta} and describe the dependences of…

Statistical Finance · Quantitative Finance 2024-06-18 Victor Olkhov

We investigate the volatility return intervals in the NYSE and FOREX markets. We explain previous empirical findings using a model based on the interacting agent hypothesis instead of the widely-used efficient market hypothesis. We derive…

General Finance · Quantitative Finance 2016-10-26 Vygintas Gontis , Shlomo Havlin , Aleksejus Kononovicius , Boris Podobnik , H. Eugene Stanley

Collective phenomena with universal properties have been observed in many complex systems with a large number of components. Here we present a microscopic model of the emergence of scaling behavior in such systems, where the interaction…

Statistical Finance · Quantitative Finance 2015-05-19 S. V. Vikram , Sitabhra Sinha

A simple computer simulation model of a closed market on a fixed network with free flow of goods and money is introduced. The model contains only two variables : the amount of goods and money beside the size of the system. An initially flat…

Adaptation and Self-Organizing Systems · Physics 2012-09-25 Marcel Ausloos , Andrzej Pekalski

Correlations and other collective phenomena in a schematic model of heterogeneous binary agents (individual spin-glass samples) are considered on the complete graph and also on 2d and 3d regular lattices. The system's stochastic dynamics is…

Disordered Systems and Neural Networks · Physics 2014-02-25 Imre Kondor , István Csabai , Gábor Papp , Enys Mones , Gábor Czimbalmos , Máté Csaba Sándor

Different agents need to make a prediction. They observe identical data, but have different models: they predict using different explanatory variables. We study which agent believes they have the best predictive ability -- as measured by…

Theoretical Economics · Economics 2023-02-01 Jose Luis Montiel Olea , Pietro Ortoleva , Mallesh M Pai , Andrea Prat