Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
979459 | Physica A: Statistical Mechanics and its Applications | 2008 | 9 Pages |
Abstract
Since Frisch’s classical damping oscillator model has failed to explain persistent economic fluctuations very satisfactorily, we suggest a non-classical oscillator model based on Quantum Mechanics, in an attempt to explain such fluctuations in stock markets. This is based on the assumption that the value could be a wave packet which decides the probability of each price since the same stock has a price range rather than a fixed price at different times. In this case, the market is treated as an apparatus that can measure the value and produce a price as a result. Then, we apply the numerical simulation results to qualitatively explain persistent fluctuations in stock markets.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Mathematical Physics
Authors
C. Ye, J.P. Huang,