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Capital market efficiency in the Ising model environment: Local and global effects

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216208%3A11230%2F16%3A10328278" target="_blank" >RIV/00216208:11230/16:10328278 - isvavai.cz</a>

  • Alternative codes found

    RIV/67985556:_____/16:00507283

  • Result on the web

    <a href="http://mme2016.tul.cz/conferenceproceedings/mme2016_conference_proceedings.pdf" target="_blank" >http://mme2016.tul.cz/conferenceproceedings/mme2016_conference_proceedings.pdf</a>

  • DOI - Digital Object Identifier

Alternative languages

  • Result language

    angličtina

  • Original language name

    Capital market efficiency in the Ising model environment: Local and global effects

  • Original language description

    Financial Ising model is one of the simplest agent-based models (building on a parallel between capital markets and the Ising model of ferromagnetism) mimicking the most important stylized facts of financial returns such as no serial correlation, fat tails, volatility clustering and volatility persistence on the verge of non-stationarity. We present results of Monte Carlo simulation study investigating the relationship between parameters of the model (related to herding and minority game behaviors) and crucial characteristics of capital market efficiency (with respect to the efficient market hypothesis). We find a strongly non-linear relationship between these which opens possibilities for further research. Specifically, the existence of both herding and minority game behavior of market participants are necessary for attaining the efficient market in the sense of the efficient market hypothesis.

  • Czech name

  • Czech description

Classification

  • Type

    D - Article in proceedings

  • CEP classification

    AH - Economics

  • OECD FORD branch

Result continuities

  • Project

    <a href="/en/project/GBP402%2F12%2FG097" target="_blank" >GBP402/12/G097: DYME-Dynamic Models in Economics</a><br>

  • Continuities

    I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Others

  • Publication year

    2016

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Article name in the collection

    34th International Conference Mathematical Methods in Economics (MME 2016)

  • ISBN

    978-80-7494-296-9

  • ISSN

  • e-ISSN

  • Number of pages

    6

  • Pages from-to

    465-470

  • Publisher name

    Technical University Liberec

  • Place of publication

    Liberec

  • Event location

    Liberec

  • Event date

    Sep 6, 2016

  • Type of event by nationality

    EUR - Evropská akce

  • UT code for WoS article

    000385239500080