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Related papers: A mean-field game price model with noise

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We study in this paper three aspects of Mean Field Games. The first one is the case when the dynamics of each player depend on the strategies of the other players. The second one concerns the modeling of '' noise '' in discrete space models…

Analysis of PDEs · Mathematics 2018-08-02 Charles Bertucci , Jean Michel Lasry , Pierre Louis Lions

We introduce and study a non-equilibrium continuous-time dynamical model of the price of a single asset traded by a population of heterogeneous interacting agents in the presence of uncertainty and regulatory constraints. The model takes…

Adaptation and Self-Organizing Systems · Physics 2009-04-23 V. I. Yukalov , D. Sornette , E. P. Yukalova

This study addresses primal-dual dynamics for a stochastic programming problem for capacity network design. It is proven that consensus can be achieved on the \textit{here and now} variables which represent the capacity of the network. The…

Optimization and Control · Mathematics 2020-09-11 Casper T. Röling , Dario Bauso , Hamidou Tembine

This paper is concerned with a class of linear-quadratic stochastic large-population problems with partial information, where the individual agent only has access to a noisy observation process related to the state. The dynamics of each…

Optimization and Control · Mathematics 2024-08-20 Min Li , Na Li , Zhen Wu

Using the Minority Game model we study a broad spectrum of problems of market mechanism. We study the role of different types of agents: producers, speculators as well as noise traders. The central issue here is the information flow :…

Statistical Mechanics · Physics 2009-10-31 Damien Challet , Matteo Marsili , Yi-Cheng Zhang

We study a general linear quadratic mean field type control problem and connect it to mean field games of a similar type. The solution is given both in terms of a forward/backward system of stochastic differential equations and by a pair of…

Optimization and Control · Mathematics 2016-07-08 P. Jameson Graber

We develop the linear programming approach to mean-field games in a general setting. This relaxed control approach allows to prove existence results under weak assumptions, and lends itself well to numerical implementation. We consider…

Optimization and Control · Mathematics 2020-11-24 Roxana Dumitrescu , Marcos Leutscher , Peter Tankov

Mean field game theory studies the behavior of a large number of interacting individuals in a game theoretic setting and has received a lot of attention in the past decade (Lasry and Lions, Japanese journal of mathematics, 2007). In this…

Optimization and Control · Mathematics 2019-10-31 Martin Frank , Michael Herty , Torsten Trimborn

We propose an artificial market model based on deterministic agents. The agents modify their ask/bid price depending on past price changes. The temporal development of market price fluctuations is calculated numerically. A probability…

Statistical Mechanics · Physics 2008-12-10 Aki-Hiro Sato , Hideki Takayasu

We present a simpler proof of the existence of equilibria for a class of mean field games with common noise, where players interact through the conditional law given the current value of the common noise rather than its entire path. By…

Probability · Mathematics 2025-11-04 Ludovic Tangpi , Shichun Wang

In this paper we explore the impact of quantiles on optimal strategies under state dynamics driven by both individual noise, common noise and Poisson jumps. We first establish an optimality system satisfied the quantile process under jump…

Optimization and Control · Mathematics 2017-08-22 Hamidou Tembine

We propose a class of Markovian agent based models for the time evolution of a share price in an interactive market. The models rely on a microscopic description of a market of buyers and sellers who change their opinion about the stock…

Other Condensed Matter · Physics 2016-08-31 Anton Bovier , Jiri Cerny , Ostap Hryniv

The determination of acceptability prices of contingent claims requires the choice of a stochastic model for the underlying asset price dynamics. Given this model, optimal bid and ask prices can be found by stochastic optimization. However,…

Pricing of Securities · Quantitative Finance 2019-01-31 Martin Glanzer , Georg Ch. Pflug , Alois Pichler

This paper develops a strategic model of trade between two regions in which, depending on the relation among output, financial resources and transportation costs, the adjustment of prices towards an equilibrium is studied. We derive…

Optimization and Control · Mathematics 2008-05-21 Iordan V. Iordanov , Stoyan V. Stoyanov , Andrey A. Vassilev

In this paper, we investigate the robustness of stationary mean-field equilibria in the presence of model uncertainties, specifically focusing on infinite-horizon discounted cost functions. To achieve this, we initially establish…

Systems and Control · Electrical Eng. & Systems 2026-04-10 Uğur Aydın , Naci Saldi

This paper studies an optimal investment-consumption problem for competitive agents with exponential or power utilities and a common finite time horizon. Each agent regards the average of habit formation and wealth from all peers as…

Optimization and Control · Mathematics 2024-05-06 Zongxia Liang , Keyu Zhang

The theory of first-order mean field type differential games examines the systems of infinitely many identical agents interacting via some external media under assumption that each agent is controlled by two players. We study the…

Optimization and Control · Mathematics 2020-11-24 Yurii Averboukh

In this paper, we introduce discrete-time linear mean-field games subject to an infinite-horizon discounted-cost optimality criterion. The state space of a generic agent is a compact Borel space. At every time, each agent is randomly…

Systems and Control · Electrical Eng. & Systems 2023-01-18 Naci Saldi

We introduce solvable stochastic dealer models, which can reproduce basic empirical laws of financial markets such as the power law of price change. Starting from the simplest model that is almost equivalent to a Poisson random noise…

Trading and Market Microstructure · Quantitative Finance 2013-05-29 Kenta Yamada , Hideki Takayasu , Takatoshi Ito , Misako Takayasu

We formulate a mean field game where each player stops a privately observed Brownian motion with absorption. Players are ranked according to their level of stopping and rewarded as a function of their relative rank. There is a unique mean…

Optimization and Control · Mathematics 2021-03-09 Marcel Nutz , Yuchong Zhang