https://doi.org/10.1140/epjb/e2004-00054-8
Majority orienting model for the oscillation of market price
The Institute of Statistical Mathematics,
4-6-7 Minami-Azabu, Minato-ku, Tokyo 106-8569, Japan
Corresponding authors: a hisanao@ism.ac.jp - b itoh@ism.ac.jp
Received:
20
June
2003
Revised:
29
October
2003
Published online:
15
March
2004
The present paper introduces a majority orienting model in which the dealers' behavior changes based on the influence of the price to show the oscillation of stock price in the stock market. We show the oscillation of the price for the model by applying the van der Pol equation which is a deterministic approximation of our model.
PACS: 89.65.Gh – Economics; econophysics, financial markets, business and management / 05.45.Tp – Time series analysis / 02.50.Ey – Stochastic processes
© EDP Sciences, Società Italiana di Fisica, Springer-Verlag, 2004
