Related papers: Physics of Finance
Quantum field theory is assumed to be gauge invariant. However it is well known that when certain quantities are calculated using perturbation theory the results are not gauge invariant. The non-gauge invariant terms have to be removed in…
Any metric theory of gravity whose interaction with quantum particles is described by a covariant wave equation is equivalent to a vector theory that satisfies Maxwell-type equations identically. This result does not depend on any…
We construct a gauge theory based on principal bundles $\mathcal{P}$ equipped with a right $\mathcal{G}$-action, where $\mathcal{G}$ is a Lie group bundle instead of a Lie group. Due to the fact that a $\mathcal{G}$-action acts fibre by…
The gauge variance of wave functionals for a gauge theory quantized in the momentum (curvature) representation is described. It is shown that a gauge transformation gives rise to a cocycle, which for theories in two space-time dimensions is…
Presented is a quantum computing model of a quantum field theory for a system of fermions interacting via a massive gauge field. The model describes a relativistic superconducting fluid and uses a metric tensor field to both encode the…
In order to prevent ``unavoidable'' break-down of the ``peaceful coexistence'' between foundations of quantum theory and relativity I propose a new type of a quantum gauge theory (superrelativity). This differs from ordinary gauge theories…
In this work we take into consideration a generalization of Gauge Theories based on the analysis of the structural characteristics of Maxwell theory, which can be considered as the prototype of such kind of theories (Maxwell-like). Such…
In this paper we introduce the axial gauge field to the framework of the quantum kinetic theory with vector gauge field in the massless limit. Treating axial-gauge field on an equal footing with the vector-gauge field, we construct a…
This article introduces the notion of arbitrage for a situation involving a collection of investments and a payoff matrix describing the return to an investor of each investment under each of a set of possible scenarios. We explain the…
The Heath-Jarrow-Morton (HJM) formulation of treasury bonds in terms of forward rates is recast as a problem in path integration. The HJM-model is generalized to the case where all the forward rates are allowed to fluctuate independently.…
Main properties of noncommutative (NC) gauge theory are investigated in a $2-$dimensional twisted Moyal plane, generated by vector fields $X_{a}=e_{a}^{\mu}(x)\partial_{\mu};$ the dynamical effects are induced by a non trivial tensor…
The concept of wave field is introduced to represent oriented media. The wave field is a tensor field of second rank, and directors are its eigenvectors. This exhibition of directors defines a natural gauge group inherit in continua and…
This thesis is about conceptual aspects of gauge theories. Gauge theories lie at the heart of modern physics: in particular, they constitute the standard model of particle physics. At its simplest, the idea of gauge is that nature is best…
Gauge theories with and without matter are formulated in the derivative expansion. Amplitudues are derived as a power series in the energy scales; there are simplifications as compared with the usual loop expansion. The incorporation and…
We apply Gauge Theory of Arbitrage (GTA) {hep-th/9710148} to derivative pricing. We show how the standard results of Black-Scholes analysis appear from GTA and derive correction to the Black-Scholes equation due to a virtual arbitrage and…
We develop an unified algebraic approach to the description of gauge interactions within the framework of a new concept of quantum mechanics. The next step in generalizing the space-time and the action vector space is made. The gauge field…
Entanglement entropy is a valuable tool for characterizing the correlation structure of quantum field theories. When applied to gauge theories, subtleties arise which prevent the factorization of the Hilbert space underlying the notion of…
In the past decades, advanced probabilistic methods have had significant impact on the field of finance, both in academia and in the financial industry. Conversely, financial questions have stimulated new research directions in probability.…
In algebraic quantum field theory the spacetime manifold is replaced by a suitable base for its topology ordered under inclusion. We explain how certain topological invariants of the manifold can be computed in terms of the base poset. We…
We discuss a possible framework for the construction of a quantum gravity theory where the principles of QFT and general relativity can coexist harmonically. Moreover, in order to fix the correct gauge group of the theory we study the most…