Applying Physics Methods
to Economics and Finance
Theoretical economics is dominated by pure mathematics:
George Soros on theoretical economics
What pure mathematics has contributed to economics?
Why physics can contribute to economics?
Mainstream theoretical
economy on
price fluctuations
Quick experiment: free data
from
www.nyse.com/marketinfo/nysestatistics.html
Crossover to 1+m»4 for
SERIOUSLY large fluctuations
The list of empirical facts about price fluctuations
What models are used to explain these empirical laws?
Price signal in a limit order model