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Agent Based Modeling (ABM) has become a widespread approach to model complex interactions. In this chapter after briefly summarizing some features of ABM the different approaches in modeling spatial interactions are discussed. It is…

Physics and Society · Physics 2014-05-06 Marcel Ausloos , Herbert Dawid , Ugo Merlone

Distributed optimization finds applications in large-scale machine learning, data processing and classification over multi-agent networks. In real-world scenarios, the communication network of agents may encounter latency that may affect…

Systems and Control · Electrical Eng. & Systems 2025-10-06 Mohammadreza Doostmohammadian , Narahari Kasagatta Ramesh , Alireza Aghasi

A network of agents attempt to learn some unknown state of the world drawn by nature from a finite set. Agents observe private signals conditioned on the true state, and form beliefs about the unknown state accordingly. Each agent may face…

Machine Learning · Computer Science 2015-03-13 Shahin Shahrampour , Mohammad Amin Rahimian , Ali Jadbabaie

We introduce a novel hybrid approach that augments Agent-Based Models (ABMs) with behaviors generated by Large Language Models (LLMs) to simulate human trading interactions. We call our model TraderTalk. Leveraging LLMs trained on extensive…

Trading and Market Microstructure · Quantitative Finance 2025-02-12 Alicia Vidler , Toby Walsh

How do networks form and what is their ultimate topology? Most of the literature that addresses these questions assumes complete information: agents know in advance the value of linking to other agents, even with agents they have never met…

Social and Information Networks · Computer Science 2014-03-21 Yangbo Song , Mihaela van der Schaar

Information exchange in multi-agent systems improves the cooperation among agents, especially in partially observable settings. In the real world, communication is often carried out over imperfect channels. This requires agents to handle…

Multiagent Systems · Computer Science 2023-11-28 Jannis Weil , Gizem Ekinci , Heinz Koeppl , Tobias Meuser

We replicate the contested calibration of the Farmer and Joshi agent based model of financial markets using a genetic algorithm and a Nelder-Mead with threshold accepting algorithm following Fabretti. The novelty of the Farmer-Joshi model…

Computational Finance · Quantitative Finance 2021-04-21 Ivan Jericevich , Murray McKechnie , Tim Gebbie

This paper explores the bifurcative dynamics of an artificial stock market exchange (ASME) with endogenous, myopic traders interacting through a limit order book (LOB). We showed that agent-based price dynamics possess intrinsic…

Trading and Market Microstructure · Quantitative Finance 2025-08-26 Matej Steinbacher , Mitja Steinbacher , Matjaz Steinbacher

We present our approach to the problem of how an agent, within an economic Multi-Agent System, can determine when it should behave strategically (i.e. learn and use models of other agents), and when it should act as a simple price-taker. We…

Multiagent Systems · Computer Science 2007-05-23 Jose M. Vidal , Edmund H. Durfee

This paper studies regulated state synchronization of homogeneous networks of non-introspective agents in presence of unknown nonuniform input delays. A scale-free protocol is designed based on additional information exchange, which does…

Systems and Control · Electrical Eng. & Systems 2020-01-08 Zhenwei Liu , Donya Nojavanzadeh , Dmitri Saberi , Ali Saberi , Anton A. Stoorvogel

We consider long-lived agents who interact repeatedly in a social network. In each period, each agent learns about an unknown state by observing a private signal and her neighbors' actions from the previous period before choosing her own…

Theoretical Economics · Economics 2025-08-19 Florian Brandl

Behavioral Finance has become a challenge to the scientific community. Based on the assumption that behavioral aspects of investors may explain some features of the Stock Market, we propose an agent based model to study quantitatively this…

General Finance · Quantitative Finance 2017-11-23 F. M. Stefan , A. P. F. Atman

Market making is a fundamental trading problem in which an agent provides liquidity by continually offering to buy and sell a security. The problem is challenging due to inventory risk, the risk of accumulating an unfavourable position and…

Artificial Intelligence · Computer Science 2018-04-13 Thomas Spooner , John Fearnley , Rahul Savani , Andreas Koukorinis

We present examples of agent-based and stochastic models of competition and business processes in economics and finance. We start from as simple as possible models, which have microscopic, agent-based, versions and macroscopic treatment in…

General Finance · Quantitative Finance 2012-07-31 Aleksejus Kononovicius , Vygintas Gontis , Valentas Daniunas

Social learning algorithms provide models for the formation of opinions over social networks resulting from local reasoning and peer-to-peer exchanges. Interactions occur over an underlying graph topology, which describes the flow of…

Signal Processing · Electrical Eng. & Systems 2023-03-15 Valentina Shumovskaia , Konstantinos Ntemos , Stefan Vlaski , Ali H. Sayed

Organizational growth processes have consistently been shown to exhibit a fatter-than-Gaussian growth-rate distribution in a variety of settings. Long periods of relatively small changes are interrupted by sudden changes in all size scales.…

Physics and Society · Physics 2014-08-13 Hernan Mondani , Petter Holme , Fredrik Liljeros

In this paper, we study cooperation in distributed games under network-constrained communication. Building on the framework of Monderer and Tennenholtz (1999), we derive a sufficient condition for cooperative equilibrium in settings where…

Computer Science and Game Theory · Computer Science 2025-11-10 Tommy Mordo , Omer Madmon , Moshe Tennenholtz

We apply a physical based model to describe the clothes fashion market. Every time a new outlet appears on the market, it can invade the market under certain specific conditions. Hence, the "old'' outlet can be completely dominated and…

Other Condensed Matter · Physics 2009-11-10 Serge Galam , Annick Vignes

Financial markets show a number of non-stationarities, ranging from volatility fluctuations over ever changing technical and regulatory market conditions to seasonalities. On the other hand, financial markets show various stylized facts…

Trading and Market Microstructure · Quantitative Finance 2018-12-19 Sebastian M. Krause , Jonas A. Fiegen , Thomas Guhr

Intelligent agents such as robots are increasingly deployed in real-world, safety-critical settings. It is vital that these agents are able to explain the reasoning behind their decisions to human counterparts, however, their behavior is…

Machine Learning · Computer Science 2023-09-20 Xijia Zhang , Yue Guo , Simon Stepputtis , Katia Sycara , Joseph Campbell
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