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Related papers: Analysis of Stochstic Evolution

200 papers

We study an agent-based model of evolution of wealth distribution in a macro-economic system. The evolution is driven by multiplicative stochastic fluctuations governed by the law of proportionate growth and interactions between agents. We…

Physics and Society · Physics 2019-11-22 Zdzislaw Burda , Pawel Wojcieszak , Konrad Zuchniak

An innovative extension of Geometric Brownian Motion model is developed by incorporating a weighting factor and a stochastic function modelled as a mixture of power and trigonometric functions. Simulations based on this Modified Brownian…

Pricing of Securities · Quantitative Finance 2015-07-09 Gurjeet Dhesi , Muhammad Bilal Shakeel , Ling Xiao

Zipf's power-law distribution is a generic empirical statistical regularity found in many complex systems. However, rather than universality with a single power-law exponent (equal to 1 for Zipf's law), there are many reported deviations…

Physics and Society · Physics 2015-03-18 Ryohei Hisano , Didier Sornette , Takayuki Mizuno

Recently several authors have proposed stochastic evolutionary models for the growth of complex networks that give rise to power-law distributions. These models are based on the notion of preferential attachment leading to the ``rich get…

Physics and Society · Physics 2007-05-23 Trevor Fenner , Mark Levene , George Loizou

The distribution of income and wealth in developed economies exhibits a robust two-class structure: an exponential (Boltzmann--Gibbs) bulk covering $\sim\!97\%$ of the population, and a power-law (Pareto) tail in the upper $\sim\!3\%$. We…

Physics and Society · Physics 2026-04-28 Robert T. Nachtrieb

Using available data from the New York stock market (NYSM) we test four different bi-parametric models to fit the correspondent volume-price distributions at each $10$-minute lag: the Gamma distribution, the inverse Gamma distribution, the…

Statistical Finance · Quantitative Finance 2014-10-30 Paulo Rocha , Frank Raischel , João P. da Cruz , Pedro G. Lind

Generalized Lotka-Volterra (GLV) models extending the (70 year old) logistic equation to stochastic systems consisting of a multitude of competing auto-catalytic components lead to power distribution laws of the (100 year old) Pareto-Zipf…

Statistical Mechanics · Physics 2008-12-02 Sorin Solomon , Peter Richmond

Explaining empirically observed wealth and income distributions, featuring power-law tails alongside gamma or log-normal bulk shapes, challenges models that focus on either pairwise competition or individual investment mechanisms. This…

Physics and Society · Physics 2025-05-19 Yuri Ono , Atsushi Ishida

The key idea of this model is that firms are the result of an evolutionary process. Based on demand and supply considerations the evolutionary model presented here derives explicitly Gibrat's law of proportionate effects as the result of…

General Finance · Quantitative Finance 2015-06-11 Joachim Kaldasch

We study an evolution cross-diffusion problem with mutualistic Lotka-Volterra reaction term to modelize the long-term spatial distribution of labor and capital. The mutualistic behavior is deduced from the gradient flow associated to…

Analysis of PDEs · Mathematics 2024-01-26 Gonzalo F. de-Córdoba , Gonzalo Galiano

The aim of this work is to establish the personal income distribution from the elementary constituents of a free market; products of a representative good and agents forming the economic network. The economy is treated as a self-organized…

General Finance · Quantitative Finance 2015-06-04 Joachim Kaldasch

Stochastic equations constitute a major ingredient in many branches of science, from physics to biology and engineering. Not surprisingly, they appear in many quantitative studies of complex systems. In particular, this type of equation is…

Physics and Society · Physics 2023-08-02 Marc Barthelemy

Recently several authors have proposed stochastic models of the growth of the Web graph that give rise to power-law distributions. These models are based on the notion of preferential attachment leading to the ``rich get richer''…

Disordered Systems and Neural Networks · Physics 2007-05-23 Mark Levene , Trevor Fenner , George Loizou , Richard Wheeldon

Understanding the statistical laws governing citation dynamics remains a fundamental challenge in network theory and the science of science. Citation networks typically exhibit in-degree distributions well approximated by log-normal…

Physics and Society · Physics 2025-10-14 Keisuke Okamura

Power-law distributions are widely recognized in complex systems physics as indicative of underlying complexity in interaction networks and critical macroscopic behavior. Previous studies, notably those of Newman and others, have emphasized…

Physics and Society · Physics 2026-05-19 Tommaso Rondini , Gregorio Berselli , Mirko Degli Esposti , Armando Bazzani

A practical statistical analysis on the regional populations and GDPs of China is conducted. The result shows that the distribution of the populations and that of the GDPs obeys the shifted power law, respectively. To understand these…

Physics and Society · Physics 2018-02-14 Jie Huo , Xu-Ming Wang , Rui Hao , Peng Wang

Studies of collective human behavior in the social sciences, often grounded in details of actions by individuals, have much to offer `social' models from the physical sciences concerning elegant statistical regularities. Drawing on…

Physics and Society · Physics 2009-03-17 R. Alexander Bentley , Paul Ormerod , Michael Batty

Power law distributions of macroscopic observables are ubiquitous in both the natural and social sciences. They are indicative of correlated, cooperative phenomena between groups of interacting agents at the microscopic level. In this paper…

Condensed Matter · Physics 2009-11-07 P Ormerod , C Mounfield

By employing exhaustive lists of large firms in European countries, we show that the upper-tail of the distribution of firm size can be fitted with a power-law (Pareto-Zipf law), and that in this region the growth rate of each firm is…

Statistical Mechanics · Physics 2009-11-10 Yoshi Fujiwara , Corrado Di Guilmi , Hideaki Aoyama , Mauro Gallegati , Wataru Souma

During training, weight matrices in machine learning architectures are updated using stochastic gradient descent or variations thereof. In this contribution we employ concepts of random matrix theory to analyse the resulting stochastic…

Disordered Systems and Neural Networks · Physics 2024-11-22 Gert Aarts , Ouraman Hajizadeh , Biagio Lucini , Chanju Park