Related papers: Information Entropy of the Financial Market: Model…
We analyze the dynamics of entanglement entropy in a generic quantum many-body open system from the perspective of quantum information and error corrections. We introduce a random unitary circuit model with intermittent projective…
We initiate the study of computational entropy in the quantum setting. We investigate to what extent the classical notions of computational entropy generalize to the quantum setting, and whether quantum analogues of classical theorems hold.…
Considering that both the entropy-based market information and the Hurst exponent are useful tools for determining whether the efficient market hypothesis holds for a given asset, we study the link between the two approaches. We thus…
The Alicki-Lindblad-Fannes dynamical (ALF) entropy measures the rate at which new information is gathered about a quantum system by inspecting its long-time evolution. We propose an extension of the ALF entropy to open quantum dynamics as a…
Quantum information processing offers promising advances for a wide range of fields and applications, provided that we can efficiently assess the performance of the control applied in candidate systems. That is, we must be able to determine…
The problem of emergence in physical theories makes necessary to build a general theory of the relationships between the observed system and the observing system. It can be shown that there exists a correspondence between classical systems…
We formulate a semi-classical circuit model to clarify the role of quantum entanglement in the recently discovered encoding phase transitions in quantum circuits with measurements. As a starting point we define a random circuit model with…
Accurate models for open quantum systems -- quantum states that have non-trivial interactions with their environment -- may aid in the advancement of a diverse array of fields, including quantum computation, informatics, and the prediction…
Scale invariance, collective behaviours and structural reorganization are crucial for portfolio management (portfolio composition, hedging, alternative definition of risk, etc.). This lack of any characteristic scale and such elaborated…
We consider discrete stochastic processes, modeled by classical master equations, on networks. The temporal growth of the lack of information about the system is captured by its non-equilibrium entropy, defined via the transition…
Classical and quantum information theory are simply explained. To be more specific it is clarified why Shannon entropy is used as measure of classical information and after a brief review of quantum mechanics it is possible to demonstrate…
Entropy, and its temporal evolution, play a central role in the foundations of quantum theory and in modern quantum technologies. Here we study, in particular, the relations between the --- in general, non-Markovian --- evolution of an open…
We assume the market price to diffuse in a hierarchical comb of barriers, the heights of which represent the importance of new information entering the market. We find fat tails with the desired exponent for the price change distribution,…
Finding better solutions to combinatorial optimization problems could have a large positive impact on many real-world application areas, such as logistics. For this reason, significant efforts have been made to design novel optimisation…
Entropy rate of sequential data-streams naturally quantifies the complexity of the generative process. Thus entropy rate fluctuations could be used as a tool to recognize dynamical perturbations in signal sources, and could potentially be…
The paper analyzes the probability distribution of the occupancy numbers and the entropy of a system at the equilibrium composed by an arbitrary number of non-interacting bosons. The probability distribution is derived both by tracing out…
Accurate modeling of the temporal evolution of asset prices is crucial for understanding financial markets. We explore the potential of discrete-time quantum walks to model the evolution of asset prices. Return distributions obtained from a…
Open-source projects that aim to make their offerings public have competed against for-profit, proprietary companies in a number of domains. These open-source projects often arise in response to the offerings of proprietary companies in…
This thesis applies entropy as a model independent measure to address three research questions concerning financial time series. In the first study we apply transfer entropy to drawdowns and drawups in foreign exchange rates, to study their…
Information flow analysis is a powerful technique for reasoning about the sensitive information exposed by a program during its execution. While past work has proposed information theoretic metrics (e.g., Shannon entropy, min-entropy,…