Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
976903 | Physica A: Statistical Mechanics and its Applications | 2010 | 7 Pages |
Abstract
To consider the psychological factors that impact market valuation, a model is formulated for investment behaviour of traders whose decisions are influenced by their trusted peers’ behaviour. The model is implemented and several different “trust networks” are tested. Simulation results demonstrate that real life trust networks can significantly delay the stabilisation of a market.
Related Topics
Physical Sciences and Engineering
Mathematics
Mathematical Physics
Authors
L. Bakker, W. Hare, H. Khosravi, B. Ramadanovic,