Monday, April 20, 2015

MoneyScience News

MoneyScience News


Keep It Simple And Complex, Stupid

Posted: 20 Apr 2015 01:41 AM PDT

Keep It Simple And Complex, Stupid: why nonlinear economic dynamics are essential. http://t.co/cnmIgOl1Ao http://ift.tt/1FZuwMo — Steve Keen (@ProfSteveKeen)…

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What Is The Future Of Machine Learning?

Posted: 20 Apr 2015 01:41 AM PDT

"What Is The Future Of Machine Learning?" http://t.co/GSwIOLIUF9 ht @BrandingBigData — Arthur Charpentier (@freakonometrics) April 20, 2015

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The shift of power in America as Wall Street bows to Silicon Valley | Will Hutton

Posted: 20 Apr 2015 01:25 AM PDT

Power shift in America as Wall Street bows to Silicon Valley http://t.co/In85nEHsA3 — Risk Management (@Risk_Mgmt) April 20, 2015

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Weekend Diversion: Zooming Into A Fractal

Posted: 20 Apr 2015 01:25 AM PDT

Mandelbrot Zoomsnow exceed the scale of the Observable Universe http://t.co/G9SchGJ3FG — moneyscience (@moneyscience) April 20, 2015

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Blog Post: Luigi.Ballabio: Chapter 7, part 5 of 6: tree-based lattices

Posted: 19 Apr 2015 10:36 PM PDT

Published / Preprint: Mathematical modeling of physical capital using the spatial Solow model. (arXiv:1504.04388v1 [q-fin.GN])

Posted: 19 Apr 2015 05:37 PM PDT

This research deals with the mathematical modeling of the physical capital diffusion through the borders of the countries. The physical capital is considered an important variable for the economic growth of a country. Here we use an extension of the economic Solow model to describe how the smuggling affects the economic growth of the countries. In this study we rely on a production function that...

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Published / Preprint: Dirac Processes and Default Risk. (arXiv:1504.04581v1 [q-fin.PR])

Posted: 19 Apr 2015 05:37 PM PDT

We introduce Dirac processes, using Dirac delta functions, for short-rate-type pricing of financial derivatives. Dirac processes add spikes to the existing building blocks of diffusions and jumps. Dirac processes are Generalized Processes, which have not been used directly before because the dollar value of non-Real numbers is meaningless. However, short-rate pricing is based on integrals so...

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Published / Preprint: A Posteriori Error Estimator for a Front-Fixing Finite Difference Scheme for American Options. (arXiv:1504.04594v1 [q-fin.MF])

Posted: 19 Apr 2015 05:37 PM PDT

For the numerical solution of the American option valuation problem, we provide a script written in MATLAB implementing an explicit finite difference scheme. Our main contribute is the definition of a posteriori error estimator for the American options pricing which is based on Richardson's extrapolation theory. This error estimator allows us to find a suitable grid where the computed solution,...

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