Crowd-anticrowd theory of multi-agent market games

M. Hart; P. Jefferies; P. M. Hui; Neil F Johnson

doi:10.1007/s100510170237

Crowd-anticrowd theory of multi-agent market games

M. Hart, P. Jefferies, P. M. Hui, Neil F Johnson

Research output: Contribution to journal › Article

52 Scopus citations

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.

Original language	English (US)
Pages (from-to)	547-550
Number of pages	4
Journal	European Physical Journal B
Volume	20
Issue number	4
DOIs	https://doi.org/10.1007/s100510170237
State	Published - Apr 2 2001
Externally published	Yes

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Keywords

01.75.+m Science and societ
02.50.Le Decision theory and game theory
05.40.-a Fluctuation phenomena, random processes, noise, and Brownian motion
87.23.Ge Dynamics of social systems

ASJC Scopus subject areas

Electronic, Optical and Magnetic Materials
Condensed Matter Physics

Cite this

Hart, M., Jefferies, P., Hui, P. M., & Johnson, N. F. (2001). Crowd-anticrowd theory of multi-agent market games. European Physical Journal B, 20(4), 547-550. https://doi.org/10.1007/s100510170237

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Access to Document

10.1007/s100510170237