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The objective of this work is the investigation of complexity, asymmetry, stochasticity and non-linearity of the financial and economic systems by using the tools of statistical mechanics and information theory. More precisely, this thesis…

Statistical Finance · Quantitative Finance 2024-08-30 Rubina Zadourian

This paper is intended to appear as a chapter for the Handbook of Markov Chain Monte Carlo. The goal of this chapter is to unify various problems at the intersection of Markov chain Monte Carlo (MCMC) and machine…

Machine Learning · Statistics 2024-02-16 Alexandre Bouchard-Côté , Trevor Campbell , Geoff Pleiss , Nikola Surjanovic

We consider the inverse reinforcement learning problem, that is, the problem of learning from, and then predicting or mimicking a controller based on state/action data. We propose a statistical model for such data, derived from the…

Machine Learning · Statistics 2012-11-27 Sumeetpal S. Singh , Nicolas Chopin , Nick Whiteley

We analyze the notions of monotonicity and complete monotonicity for Markov Chains in continuous-time, taking values in a finite partially ordered set. Similarly to what happens in discrete-time, the two notions are not equivalent. However,…

Probability · Mathematics 2016-03-08 Paolo Dai Pra , Pierre-Yves Louis , Ida Minelli

Data-based inference of directed interactions in complex dynamical systems is a problem common to many disciplines of science. In this work, we study networks of spatially separate dynamical entities, which could represent physical systems…

Statistical Mechanics · Physics 2024-03-15 Tim Hempel , Sarah A. M. Loos

The large-scale organization of the world economies is exhibiting increasingly levels of local heterogeneity and global interdependency. Understanding the relation between local and global features calls for analytical tools able to uncover…

General Finance · Quantitative Finance 2008-12-10 M. Angeles Serrano , Marian Boguna , Alessandro Vespignani

This paper introduces a new approach for estimating core inflation indicators based on common factors across a broad range of price indices. Specifically, by utilizing procedures for detecting multiple regimes in high-dimensional factor…

General Economics · Economics 2024-11-21 Gabriel Rodriguez-Rondon

This paper considers a Markov-modulated duplication-deletion random graph where at each time instant, one node can either join or leave the network; the probabilities of joining or leaving evolve according to the realization of a finite…

Information Theory · Computer Science 2013-03-04 Maziyar Hamdi , Vikram Krishnamurthy , George Yin

This paper presents a comprehensive review of stochastic processes, with a particular focus on Markov chains and jump processes. The main results related to queuing systems are analyzed. Additionally, conditions that ensure the stability,…

Probability · Mathematics 2025-07-30 Carlos E. Martínez-Rodríguez

We study the so-called pinning model, which describes the behavior of a Markov chain interacting with a distinguished state. The interaction depends on an external source of randomness, called disorder, which can attract or repel the Markov…

Probability · Mathematics 2023-02-27 Niccolo Torri

A novel Markovian network evolution model is introduced and analysed by means of information theory. It will be proved that the model, called Network Evolution Chain, is a stationary and ergodic stochastic process. Therefore, the Asymptotic…

Information Theory · Computer Science 2022-01-21 Amirmohammad Farzaneh , Justin P. Coon

We consider the problem of statistical inference in a parametric finite Markov chain model and develop a robust estimator of the parameters defining the transition probabilities via minimization of a suitable (empirical) version of the…

Methodology · Statistics 2021-03-23 Abhik Ghosh

This project is going to work with one example of stochastic matrix to understand how Markov chains evolve and how to use them to make faster and better decisions only looking to the present state of the system.

Dynamical Systems · Mathematics 2020-12-24 Ricardo Frumento

In this paper, we study the controllability and stabilizability properties of the Kolmogorov forward equation of a continuous time Markov chain (CTMC) evolving on a finite state space, using the transition rates as the control parameters.…

Systems and Control · Computer Science 2017-03-29 Karthik Elamvazhuthi , Vaibhav Deshmukh , Matthias Kawski , Spring Berman

In multi-state life insurance, an adequate balance between analytic tractability, computational efficiency, and statistical flexibility is of great importance. This might explain the popularity of Markov chain modelling, where matrix…

Probability · Mathematics 2024-04-25 Jamaal Ahmad , Mogens Bladt , Christian Furrer

A Markovian dichotomic system driven by a deterministic time-periodic force is analyzed in terms of the statistical properties of the switching events between the states. The consideration of the counting process of the switching events…

Statistical Mechanics · Physics 2009-11-10 Jesús Casado-Pascual , José Gómez-Ordóñez , M. Morillo

This is lecture notes on the course "Stochastic Processes". In this format, the course was taught in the spring semesters 2017 and 2018 for third-year bachelor students of the Department of Control and Applied Mathematics, School of Applied…

In this paper we establish a diffusion limit for a multivariate continuous time Markov chain whose components are indexed by vertices of a finite graph. The components take values in a common finite set of non-negative integers and evolve…

Probability · Mathematics 2025-09-15 Anatolii Puhalskii , Vadim Shcherbakov

The theory of ``Markov-up'' processes is being developed. This is a new class of stochastic processes with ``partial'' markovian features; it could also be called ``one-sided Markov''. Such a behavior may be found in the real world and in…

Probability · Mathematics 2024-07-01 D. O. Kalikaeva

Substitution Markov chains have been introduced [7] as a new model to describe molecular evolution. In this note, we study the associated Martin boundaries from a probabilistic and topological viewpoint. An example is given that, although…

Probability · Mathematics 2017-06-01 David Koslicki , Manfred Denker