In a dynamic asset pricing model informed traders receive a noisy signal of the value of a risky asset while uninformed traders learn to extract the information from the price. The relative popularity of the two strategies depends on past performance. The asymptotic properties of the model and...

Effective teaching of computational methods to economists in an introductory graduate-level course requires difficult choices regarding the material to be covered, the level at which the material will be covered, and the role of assigned exercises, laboratory sessions, and required readings. In...

We present the basic mechanisms of Genetic Algorithms and some significant applications of these algorithms in economics. The article also provides a representative reference list on this topic.

In this paper we present a simple agent based model aimed to the qualitative description of some ``stylized facts'' typical of financial markets. The framework is a simple two assets model: a riskless bond, with a constant riskless return and a risky stock, paying constant dividends. Both the...

This paper discusses how numerical techniques may be used to solve the simultaneous functional equations that arise in general dynamic stochastic games. Unlike the conventional linear-quadratic approach, our methods may be used to address general model specifications that may include...

This article tries to connect two separate strands of literature concerning genetic algorithms. On the one hand, extensive research took place in mathematics and closely related sciences in order to find out more about the properties of genetic algorithms as stochastic processes. On the other...

Majority coalitions are formed such that they can redistribute incomes to their favour. When inequality is to be increased in the interest of some, coalition partners must be found by compensation schemes. Compensation minimisation is shown to lead to the coalition partners being either a...

Extensive exploration of simulation models comes at a high computational cost, all the more when the model involves a lot of parameters. Economists usually rely on random explorations, such as Monte Carlo simulations, and basic econometric modeling to approximate the properties of computational...

This paper attempts to estimate overall inefficiency of the sample of vegetable farms in Uzbekistan. Using the duality between the directional input distance function (DIDF) and the cost function, the study reports allocative inefficiency scores in addition to technical inefficiency in the...

Artificial stock markets are built with diffuse priors in mind regarding trading strategies and price formation mechanisms. Diffuse priors are a natural consequence of the unknown relation between the various elements that drive market dynamics and the large variety of market organizations,...