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One of the challenges in model-based control of stochastic dynamical systems is that the state transition dynamics are involved, and it is not easy or efficient to make good-quality predictions of the states. Moreover, there are not many…

Machine Learning · Computer Science 2018-08-02 Behnoosh Parsa , Keshav Rajasekaran , Franziska Meier , Ashis G. Banerjee

In order to figure out and to forecast the emergence phenomena of social systems, we propose several probabilistic models for the analysis of financial markets, especially around a crisis. We first attempt to visualize the collective…

Statistical Finance · Quantitative Finance 2015-06-17 Takero Ibuki , Shunsuke Higano , Sei Suzuki , Jun-ichi Inoue , Anirban Chakraborti

Statistical node clustering in discrete time dynamic networks is an emerging field that raises many challenges. Here, we explore statistical properties and frequentist inference in a model that combines a stochastic block model (SBM) for…

Methodology · Statistics 2016-06-23 Catherine Matias , Vincent Miele

A theoretical model of systemic-risk propagation of financial market is analyzed for stability. The state equation is an unsteady diffusion equation with a nonlinear logistic growth term, where the diffusion process captures the spread of…

Mathematical Finance · Quantitative Finance 2025-11-18 Jiacheng Wu

The stochastic block model (SBM) is a popular model for capturing community structure and interaction within a network. Network data with non-Boolean edge weights is becoming commonplace; however, existing analysis methods convert such data…

Methodology · Statistics 2020-07-20 Matthew Ludkin

A nonlinear regression framework is proposed for time series and panel data for the situation where certain explanatory variables are available at a higher temporal resolution than the dependent variable. The main idea is to use the moments…

Methodology · Statistics 2023-09-20 Malte Jahn

We study nonequilibrium dynamical properties of inhomogeneous systems, in particular at a free surface or at a defect plane. Thereby we consider nonconserved (model-A) dynamics of a system which is prepared in the high-temperature phase and…

Statistical Mechanics · Physics 2009-11-10 Michel Pleimling , Ferenc Igloi

Cavitation and bubble dynamics are central concepts in engineering, the natural sciences, and the mathematics of fluid mechanics. Due to the nonlinear nature of their dynamics, the governing equations are not fully solvable. Here, the…

Fluid Dynamics · Physics 2014-10-15 Alexander R. Klotz

We present analytical investigations of a multiplicative stochastic process that models a simple investor dynamics in a random environment. The dynamics of the investor's budget, $x(t)$, depends on the stochasticity of the return on…

Portfolio Management · Quantitative Finance 2009-11-13 Emeterio Navarro , Ruben Cantero , Joao Rodrigues , Frank Schweitzer

Prediction of events in financial markets is every investor's dream and, usually, wishful thinking. From a more general, economic and societal viewpoint, the identification of indicators for large events is highly desirable to assess…

Risk Management · Quantitative Finance 2022-08-11 Anton J. Heckens , Thomas Guhr

The study presents a novel approach for stochastic nonlinear model updating in structural dynamics, employing a Bayesian framework integrated with Markov Chain Monte Carlo (MCMC) sampling for parameter estimation by using an approximated…

The availability of data on economic uncertainty sparked a lot of interest in models that can timely quantify episodes of international spillovers of uncertainty. This challenging task involves trading off estimation accuracy for more…

General Economics · Economics 2023-02-07 Niels Gillmann , Ostap Okhrin

We study a stochastic nonlocal PDE, arising in the context of modelling spatially distributed neural activity, which is capable of sustaining stationary and moving spatially-localized ``activity bumps''. This system is known to undergo a…

Dynamical Systems · Mathematics 2009-11-11 C. R. Laing , T. A. Frewen , I. G. Kevrekidis

In this work, we consider systems that are subjected to intermittent instabilities due to external stochastic excitation. These intermittent instabilities, though rare, have a large impact on the probabilistic response of the system and…

Chaotic Dynamics · Physics 2017-06-02 Mustafa A. Mohamad , Themistoklis P. Sapsis

We describe a simple model for speculative trading based on adaptive behavior of economic agents.The adaptive behavior is expressed through a feedback mechanism for changing agents' stock-to-bond ratios, depending on the past performance of…

Trading and Market Microstructure · Quantitative Finance 2018-09-26 Misha Perepelitsa

Car-following behavior modeling is critical for understanding traffic flow dynamics and developing high-fidelity microscopic simulation models. Most existing impulse-response car-following models prioritize computational efficiency and…

Applications · Statistics 2025-04-09 Chengyuan Zhang , Wenshuo Wang , Lijun Sun

Modelling noisy oscillations of active systems is one of the current challenges in physics and biology. Because the physical mechanisms of such processes are often difficult to identify, we propose a linear stochastic model driven by a…

We model non-stationary volume-price distributions with a log-normal distribution and collect the time series of its two parameters. The time series of the two parameters are shown to be stationary and Markov-like and consequently can be…

Statistical Finance · Quantitative Finance 2017-05-04 Joana Estevens , Paulo Rocha , Joao Boto , Pedro Lind

In this paper, we investigate time-varying nonlinear time series regression for a broad class of locally stationary time series. First, we propose sieve nonparametric estimators for the time-varying regression functions that achieve uniform…

Methodology · Statistics 2025-07-01 Xiucai Ding , Zhou Zhou

Stable random variables are motivated by the central limit theorem for densities with (potentially) unbounded variance and can be thought of as natural generalizations of the Gaussian distribution to skewed and heavy-tailed phenomenon. In…

Machine Learning · Computer Science 2014-04-17 Navodit Misra , Ercan E. Kuruoglu