We present a dynamical theory of asset price bubbles that exhibits the appearance of bubbles and their subsequent crashes. We show that when speculative trends dominate over fundamental beliefs, bubbles form, leading to the growth of asset prices away from their fundamental value. This growth...

Recent developments in the global liberalization of equity and currency markets, coupled to advances in trading technologies, are making markets increasingly interdependent. This increased fluidity raises questions about the stability of the international financial system. In this paper, we show...

We present a dynamical theory of asset price bubbles that exhibits the appearance of bubbles and their subsequent crashes. We show that when speculative trends dominate over fundamental beliefs, bubbles form, leading to the growth of asset prices away from their fundamental value. This growth...

Large distributed multiagent systems are characterized by vast numbers of agents trying to gain access to limited resources in an unpredictable environment. Agents in these system continuously switch strategies in order to opportunistically find improvements in their utilities. We have analyzed...

We propose using the information revealed through auctions, including in particular the unsuccessful bids, to identify latent demand. Applied to combinatorial auctions for bundles of goods, this information can identify new bundles with particularly high valuations, expressed by their high...

We present a two-level model of organizational training and agent production. Managers decide whether or not to train based on both the costs of training compared to the benefits and on their expectations and observations of the number of other firms that also train. Managers also take into...

As computer networks grow and blanket the planet, they become a community of concurrent processes, which, in their interactions, strategies, and lack of perfect knowledge, become analogous to human market economies. Economics may thus offer new ways of designing and understanding the behavior of...