6533b823fe1ef96bd127e378
RESEARCH PRODUCT
How to control stock markets
Andrea Consigliosubject
MicroeconomicsControl theory dynamic systems difference equationsControl and Systems EngineeringStock exchangeFinancial marketBusinessImperfectMathematical economicsStock (geology)Computer Science ApplicationsTheoretical Computer Sciencedescription
This paper provides a different approach to the analysis of imperfect stock markets. The model we are concerned with is described by the interaction of three institutional classes of agents (the specialist trader, the professional trader and the non-professional trader), sharing different information. The dynamical discrete-time system obtained can be changed into a second-order linear difference equation forced by the fundamental value of the specialist trader. Using typical tools of control theory, we study the behaviour of the professional trader’s fundamental value influenced by the specialist’s one. © 1994 Taylor & Francis Group, LLC.
| year | journal | country | edition | language |
|---|---|---|---|---|
| 1994-12-01 |