IDEAS home Printed from https://ideas.repec.org/a/spr/eurphb/v20y2001i4d10.1007_s100510170237.html
   My bibliography  Save this article

Crowd-anticrowd theory of multi-agent market games

Author

Listed:
  • M. Hart

    (Physics Department, Oxford University, Oxford, OX1 3PU, UK)

  • P. Jefferies

    (Physics Department, Oxford University, Oxford, OX1 3PU, UK)

  • P.M. Hui

    (Physics Department, Chinese University of Hong Kong, Shatin, Hong Kong, PR China)

  • N.F. Johnson

    (Physics Department, Oxford University, Oxford, OX1 3PU, UK)

Abstract

We present a dynamical theory of a multi-agent market game, the so-called Minority Game (MG), based on crowds and anticrowds. The time-averaged version of the dynamical equations provides a quantitatively accurate, yet intuitively simple, explanation for the variation of the standard deviation (`volatility') in MG-like games. We demonstrate this for the basic MG, and the MG with stochastic strategies. The time-dependent equations themselves reproduce the essential dynamics of the MG.

Suggested Citation

  • M. Hart & P. Jefferies & P.M. Hui & N.F. Johnson, 2001. "Crowd-anticrowd theory of multi-agent market games," The European Physical Journal B: Condensed Matter and Complex Systems, Springer;EDP Sciences, vol. 20(4), pages 547-550, April.
    • Handle: RePEc:spr:eurphb:v:20:y:2001:i:4:d:10.1007_s100510170237
    DOI: 10.1007/s100510170237
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s100510170237
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s100510170237?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wawrzyniak, Karol & Wiślicki, Wojciech, 2012. "Mesoscopic approach to minority games in herd regime," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 391(5), pages 2056-2082.
    2. Xu, C. & Gu, G.-Q. & Hui, P.M., 2024. "Impacts of an expert’s opinion on the collective performance of a competing population for limited resources," Chaos, Solitons & Fractals, Elsevier, vol. 183(C).
    3. Li-Xin Zhong & Wen-Juan Xu & Fei Ren & Yong-Dong Shi, 2012. "Coupled effects of market impact and asymmetric sensitivity in financial markets," Papers 1209.3399, arXiv.org, revised Jan 2013.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:eurphb:v:20:y:2001:i:4:d:10.1007_s100510170237. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.