Related papers: Information Entropy of the Financial Market: Model…
The model of open quantum systems is adopted to describe the non-local dynamical behaviour of qubits processed by entangling gates. The analysis gets to the conclusion that a distinction between evaluation steps and task-oriented computing…
We determine the amount of information contained in a time series of price returns at a given time scale, by using a widespread tool of the information theory, namely the Shannon entropy, applied to a symbolic representation of this time…
Making decisions freely presupposes that there is some indeterminacy in the environment and in the decision making engine. The former is reflected on the behavioral changes due to communicating: few changes indicate rigid environments;…
"Quantum mechanics must be regarded as open systems. On one hand, this is due to the fact that, like in classical physics, any realistic system is subjected to a coupling to an uncontrollable environment which influences it in a…
Uncertainty principle plays a crucial role in quantum mechanics, because it captures the essence of the inevitable randomness associated with the outcomes of two incompatible quantum measurements. Information entropy can perfectly describe…
This research presents a novel approach to predicting option movements by analyzing residual transactions, which are trades that deviate from standard hedging activities. Unlike traditional methods that primarily focus on open interest and…
A comparison of structural features of quantum and classical physical theories, such as the information capacity of systems subject to these theories, requires a common formal framework for the presentation of corresponding concepts (such…
Dynamical aspects of information-theoretic and entropic measures of quantum systems are studied. First, we show that for the time-dependent harmonic oscillator, as well as for the charged particle in certain time-varying electromagnetic…
The entropy production rate for an open quantum system with a classically chaotic limit has been previously argued to be independent of $\hbar$ and $D$, the parameter denoting coupling to the environment, and to be equal to the sum of…
Quantum information theory, particularly its entropic formulations, has made remarkable strides in characterizing quantum systems and tasks. However, a critical dimension remains underexplored: computational efficiency. While classical…
Speculative trading can drive pronounced market instabilities, yet existing regulatory and macroprudential tools intervene only after such dynamics emerge. Quantum technologies offer a fundamentally new means of shaping economic behavior by…
Inferring models, predicting the future, and estimating the entropy rate of discrete-time, discrete-event processes is well-worn ground. However, a much broader class of discrete-event processes operates in continuous-time. Here, we provide…
We present analytical results for the time-dependent information entropy in exactly solvable two-state (qubit) models. The first model describes dephasing (decoherence) in a qubit coupled to a bath of harmonic oscillators. The entropy…
During a spontaneous change, a macroscopic physical system will evolve towards a macro-state with more realizations. This observation is at the basis of the Statistical Mechanical version of the Second Law of Thermodynamics, and it provides…
Quantum state estimation (or state tomography) is an indispensable task in quantum information processing. Because full state tomography that determines all elements of the density matrix is computationally demanding, one usually takes the…
This work explores entropy analysis as a tool for probing information distribution within Transformer-based architectures. By quantifying token-level uncertainty and examining entropy patterns across different stages of processing, we aim…
Stochastic simulation has been widely used to analyze the performance of complex stochastic systems and facilitate decision making in those systems. Stochastic simulation is driven by the input model, which is a collection of probability…
In financial markets, the information that traders have about an asset is reflected in its price. The arrival of new information then leads to price changes. The `information-based framework' of Brody, Hughston and Macrina (BHM) isolates…
Financial markets are a typical example of complex systems where interactions between constituents lead to many remarkable features. Here, we show that a pairwise maximum entropy model (or auto-logistic model) is able to describe switches…
We introduce the use of entanglement entropy as a tool for studying the amount of information shared between the nodes of quantum complex networks. By considering the ground state of a network of coupled quantum harmonic oscillators, we…