We develop an efficient and easy-to-use computational method for solving a wide class of general equilibrium heterogeneous agent models with aggregate shocks, together with an open source suite of codes that implement our algorithms in an easy-to-use toolbox. Our method extends standard...

One approach to analyzing inequality is to compare average economic choices from a classical theoretical framework. Another approach considers the impact of the formation of society, through statutes and institutions, on average economic outcomes. This paper studies the effects of slavery on...

Present market instabilities have prompted great interest on the characteristics of specific portfolios such as minimum variance and equally- weighted risk contribution portfolios as these portfolios do not rely on the estimate of expected returns. Indeed, in turmoil periods traditional market...

Volatility is usually considered as a synonym for risk. Mainstream financial theory states that higher portfolio volatility is translated into higher expected returns while diversification helps eliminate idiosyncratic risks. This leaves us with an apparent anomaly as low-risk (low-beta) stocks...

We develop an efficient and easy-to-use computational method for solving a wide class of general equilibrium heterogeneous agent models with aggregate shocks, together with an open source suite of codes that implement our algorithms in an easy-to-use toolbox. Our method extends standard...

In the homogeneous case of one type of goods or objects, we prove the existence of an additive utility function without assuming transitivity of indifference and independence. The representation reveals a positive factor smaller than 1 that infuences rational choice beyond the utility function...

We develop an analytical core for sociology. We follow standard dynamical systems theory by first specifying the conditions for social equilibrium, and then study the dynamical principles that govern disequilibrium behavior. Our general social equilibrium model is an expansion of the general...

In Nature’s Law, Elliott explained that the Fibonacci sequence provides a mathematical basis of the wave principle. In The Wave Principle of Human Social Behavior and The New Science of Socionomics, Prechter explained how Fibonacci sequence exists at all those instances where growth is the...

Universal approximation functions are well known and studied in canonical mathematics. Here we theorize the existence of an independent class of universal approximation agents and agent-based models. We draw upon historical references from mathematical analysis, the development of machine...