The Statistical Mechanics of Financial Markets (Theoretical and Mathematical Physics)

The Statistical Mechanics of Financial Markets (Theoretical and Mathematical Physics)
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The Statistical Mechanics of Financial Markets (Theoretical and Mathematical Physics) Description

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This treatment popular introduction describes the parallels between statistical physics and economics – both those established in the interaction of 100 years between these disciplines and new analysis in financial markets. The random walk method, well recognized in physics, is also the standard model in finance, which are constructed such that the theory of Black-Scholes option pricing and hedging, as well as methods for optimizing portfolio. The assumptions underlying a vital review. Making use of empirical financial information and analogies to physical models of fluid flows, turbulence, or superdistribution book develops a much more accurate description of monetary markets based on our random walks. Employing this approach, new approaches of derivatives pricing and risk management are produced. Computer simulations of interacting-agent models to far better comprehend the pricing mechanisms unconventional. It turns out that the stock market crash, mod The Statistical Mechanics of Financial Markets (Theoretical and Mathematical Physics)

\n\nThe Statistical Mechanics of Monetary Markets (Theoretical and Mathematical Physics) Ebook

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