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We discuss martingales, detrending data, and the efficient market hypothesis for stochastic processes x(t) with arbitrary diffusion coefficients D(x,t). Beginning with x-independent drift coefficients R(t) we show that Martingale stochastic…

Physics and Society · Physics 2009-11-13 Joseph L. McCauley , Kevin E. Bassler , Gemunu H. Gunaratne

Numerical solutions to fractional differential equations can be extremely computationally intensive due to the effect of non-local derivatives in which all previous time points contribute to the current iteration. In finite difference…

Mathematical Physics · Physics 2010-04-30 Brian P. Sprouse , Christopher L. MacDonald , Gabriel A. Silva

Stochastic systems with memory naturally appear in life science, economy, and finance. We take the modelling point of view of stochastic functional delay equations and we study these structures when the driving noises admit jumps. Our…

Probability · Mathematics 2016-06-01 D. R. Baños , F. Cordoni , G. Di Nunno , L. Di Persio , E. E. Røse

Active systems across scales, ranging from molecular machines to human crowds, are usually modeled as assemblies of self-propelled particles driven by internally generated forces. However, these models often assume memoryless dynamics and…

Statistical Mechanics · Physics 2025-12-10 Marc Besse , Raphaël Voituriez

Popularity describes the dynamics of mass attention, and is a part of a broader class of population dynamics in ecology and social science literature. Studying accurate model of popularity is important for quantifying spreading of novelty,…

Physics and Society · Physics 2017-12-07 Hyungjoon Soh , Joo Hyung Hong , Jaeseung Jeong , Hawoong Jeong

In the face of the upcoming 30th anniversary of econophysics, we review our contributions and other related works on the modeling of the long-range memory phenomenon in physical, economic, and other social complex systems. Our group has…

Physics and Society · Physics 2021-08-31 Rytis Kazakevicius , Aleksejus Kononovicius , Bronislovas Kaulakys , Vygintas Gontis

Fractional order differential and difference equations are used to model systems with memory. Variable order fractional equations are proposed to model systems where the memory changes in time. We investigate stability conditions for linear…

Dynamical Systems · Mathematics 2025-02-12 Prashant M. Gade , Sachin Bhalekar , Janardhan Chevala

We propose a stochastic process driven by the memory effect with novel distributions which include both exponential and leptokurtic heavy-tailed distributions. A class of the distributions is analytically derived from the continuum limit of…

Statistics Theory · Mathematics 2012-03-27 Jongwook Kim , Teppei Okumura

Recent empirical studies have demonstrated long-memory in the signs of orders to buy or sell in financial markets [2, 19]. We show how this can be caused by delays in market clearing. Under the common practice of order splitting, large…

Other Condensed Matter · Physics 2009-11-10 F. Lillo , Szabolcs Mike , J. Doyne Farmer

Natural spatiotemporal processes can be highly non-stationary in many ways, e.g. the low-level non-stationarity such as spatial correlations or temporal dependencies of local pixel values; and the high-level variations such as the…

Machine Learning · Computer Science 2019-04-23 Yunbo Wang , Jianjin Zhang , Hongyu Zhu , Mingsheng Long , Jianmin Wang , Philip S Yu

The "criticality hypothesis", based on observed scale-free correlations in neural activity, posits that the brain operates at a critical point of transition between two phases. However, the validity of this hypothesis is still debated.…

Biological Physics · Physics 2025-12-05 Jay Sun , Chesson Sipling , Yuan-Hang Zhang , Massimiliano Di Ventra

The developing of (non-Markovian) memory effects strongly depends on the underlying system-environment dynamics. Here we study this problem in multipartite arrangements where all subsystems are coupled to each other by non-diagonal…

Quantum Physics · Physics 2023-01-05 Adrián A. Budini

In this comment we discuss the problem of reconciling the linear efficiency of price returns with the long-memory of supply and demand. We present new evidence that shows that efficiency is maintained by a liquidity imbalance that co-moves…

Physics and Society · Physics 2008-12-02 J. Doyne Farmer , Austin Gerig , Fabrizio Lillo , Szabolcs Mike

Memory is often defined as the mental capacity of retaining information about facts, events, procedures and more generally about any type of previous experience. Memories are remembered as long as they influence our thoughts, feelings, and…

Neurons and Cognition · Quantitative Biology 2017-06-16 Stefano Fusi

Understanding memorisation in language models has practical and societal implications, e.g., studying models' training dynamics or preventing copyright infringements. Prior work defines memorisation as the causal effect of training with an…

Machine Learning · Computer Science 2024-10-17 Pietro Lesci , Clara Meister , Thomas Hofmann , Andreas Vlachos , Tiago Pimentel

We show how machine learning methods can unveil the fractional and delayed nature of discrete dynamical systems. In particular, we study the case of the fractional delayed logistic map. We show that given a trajectory, we can detect if it…

Dynamical Systems · Mathematics 2023-09-08 J. Alberto Conejero , Òscar Garibo-i-Orts , Carlos Lizama

Earlier we proposed the stochastic point process model, which reproduces a variety of self-affine time series exhibiting power spectral density S(f) scaling as power of the frequency f and derived a stochastic differential equation with the…

Physics and Society · Physics 2008-12-02 V. Gontis , B. Kaulakys

Many natural and social systems possess power-law memory, and their mathematical modeling requires the application of discrete and continuous fractional calculus. Most of these systems are nonlinear and demonstrate regular and chaotic…

Chaotic Dynamics · Physics 2022-02-08 Mark Edelman , Avigayil B. Helman

We propose a stochastic process driven by memory effect with novel distributions including both exponential and leptokurtic heavy-tailed distributions. A class of distribution is analytically derived from the continuum limit of the discrete…

Statistical Finance · Quantitative Finance 2013-05-14 Jongwook Kim , Gabjin Oh

An average instantaneous cross-correlation function is introduced to quantify the interaction of the financial market of a specific time. Based on the daily data of the American and Chinese stock markets, memory effect of the average…

Statistical Finance · Quantitative Finance 2015-05-18 Tian Qiu , Guang Chen , Li-Xin Zhong , Xiao-Wei Lei