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Standard micro-economics concentrate on the description of markets but is seldom interested in production. Several economists discussed the concept of a firm, as opposed to an open labour market where entrepreneurs would recrute workers on…

General Finance · Quantitative Finance 2008-12-02 G. Weisbuch , D. Stauffer , D. Mangalagiu , R. Ben-Av , S. Solomon

Explaining empirically observed wealth and income distributions, featuring power-law tails alongside gamma or log-normal bulk shapes, challenges models that focus on either pairwise competition or individual investment mechanisms. This…

Physics and Society · Physics 2025-05-19 Yuri Ono , Atsushi Ishida

We use the formalism of 'Maximum Principle of Shannon's Entropy' to derive the general power law distribution function, using what seems to be a reasonable physical assumption, namely, the demand of a constant mean "internal order"…

Statistical Mechanics · Physics 2007-05-23 Yaniv Dover

We study the concentration phenomenon for discrete-time random dynamical systems with an unbounded state space. We develop a heuristic approach towards obtaining exponential concentration inequalities for dynamical systems using an entirely…

Machine Learning · Statistics 2022-12-08 Muhammad Abdullah Naeem , Miroslav Pajic

We introduce a new statistical tool (the TP-statistic and TE-statistic) designed specifically to compare the behavior of the sample tail of distributions with power-law and exponential tails as a function of the lower threshold u. One…

Computational Physics · Physics 2009-11-10 V. F. Pisarenko , D. Sornette

We analyze annual revenues and earnings data for the 500 largest-revenue U.S. companies during the period 1954-2007. We find that mean year profits are proportional to mean year revenues, exception made for few anomalous years, from which…

General Finance · Quantitative Finance 2009-11-13 H. E. Roman , R. A. Siliprandi , C. Dose , C. Riccardi , M. Porto

We introduce a comprehensive analytical benchmark, relying on Fokker-Planck formalism, to study microbial dynamics in presence of both biotic and abiotic forces. In equilibrium, we observe a balance between the two kinds of forces, leading…

Populations and Evolution · Quantitative Biology 2024-10-17 José Camacho-Mateu , Aniello Lampo , Saúl Ares , José A. Cuesta

We show that for any positive integer $d$, there are families of switched linear systems---in fixed dimension and defined by two matrices only---that are stable under arbitrary switching but do not admit (i) a polynomial Lyapunov function…

Optimization and Control · Mathematics 2015-04-16 Amir Ali Ahmadi , Raphael Jungers

There is accumulating evidence in the literature that stability of learning algorithms is a key characteristic that permits a learning algorithm to generalize. Despite various insightful results in this direction, there seems to be an…

Machine Learning · Statistics 2019-05-10 Karim Abou-Moustafa , Csaba Szepesvari

We summarize a book under publication with his title written by the three present authors, on the theory of Zipf's law, and more generally of power laws, driven by the mechanism of proportional growth. The preprint is available upon request…

General Finance · Quantitative Finance 2014-08-26 A. Saichev , Y. Malevergne , D. Sornette

Heavy-tailed fluctuations and power law statistics pervade physics, finance, and economics, yet their origin is often ascribed to systems poised near criticality. Here we show that such behavior can emerge far from instability through a…

Statistical Mechanics · Physics 2025-10-15 Virgile Troude , Didier Sornette

We study networks of interacting queues governed by utility-maximising service-rate allocations in both discrete and continuous time. For {\em finite} networks we establish stability and some steady-state moment bounds under natural…

Probability · Mathematics 2019-08-21 Seva Shneer , Alexander Stolyar

A new definition of continuous-time equilibrium controls is introduced. As opposed to the standard definition, which involves a derivative-type operation, the new definition parallels how a discrete-time equilibrium is defined, and allows…

Optimization and Control · Mathematics 2021-07-15 Yu-Jui Huang , Zhou Zhou

By decoupling forward and backward stochastic trajectories, we construct a family of martingales and work theorems for both overdamped and underdamped Langevin dynamics. Our results are made possible by an alternative derivation of work…

Statistical Mechanics · Physics 2025-04-17 Xiangting Li , Tom Chou

In [16], under mild conditions, a Wiener-Hopf type factorization is derived for the exponential functional of proper L\'evy processes. In this paper, we extend this factorization by relaxing a finite moment assumption as well as by…

Probability · Mathematics 2011-07-05 Pierre Patie , Mladen Savov

In 2019 Anthony Quas, Philippe Thieullen and Mohamed Zarrabi introduced the concept of strong fast invertibility for linear cocycles. It relates the growth of volumes between different initial times and, together with a condition on…

Dynamical Systems · Mathematics 2025-07-08 Florian Noethen

Herbert Simon's classic rich-get-richer model is one of the simplest empirically supported mechanisms capable of generating heavy-tail size distributions for complex systems. Simon argued analytically that a population of flavored elements…

We study models of regulatory breakup, in the spirit of Strong and Fouque [Ann. Finance 7 (2011) 349-374] but with a fluctuating number of companies. An important class of market models is based on systems of competing Brownian particles:…

Probability · Mathematics 2016-06-23 Ioannis Karatzas , Andrey Sarantsev

The Foster-Lyapunov theorem and its variants serve as the primary tools for studying the stability of queueing systems. In addition, it is well known that setting the drift of the Lyapunov function equal to zero in steady-state provides…

Probability · Mathematics 2015-03-19 Atilla Eryilmaz , R. Srikant

We derive some key extremal features for $k$th order Markov chains that can be used to understand how the process moves between an extreme state and the body of the process. The chains are studied given that there is an exceedance of a…

Statistics Theory · Mathematics 2023-01-27 Ioannis Papastathopoulos , Adrian Casey , Jonathan A. Tawn