An asset pricing model for exchange rate determination is presented, where technical analysis in currency trade is incorporated in the form of a moving average technique. As a result, the model has j<INF>max</INF>&plus;1 rational expectations equilibria (REE), where j<INF>max</INF> is large, since j<INF>max</INF> past exchange rates...</inf></inf></inf>

We augment the standard New Keynesian model for  monetary policy design with stock prices in the  economy and stock traders wh use a mix of fundamental  and technical analyses. The central question in  this paper is whether macroeconomic stability can ...

The purpose of this paper is to show how the stability properties of non-linear dynamic models may be characterized and studied, where the degree of stability is defined by the effects of exogenous shocks on the evolution of the observed stochastic system. This type of stability concept is...

We show that the Matthew effect, or Matthew mechanism, was present in the artificial cultural market Music Lab in one-fourth of the “worlds” when social influence between individuals was allowed, whereas this effect was not present in the “world” that disallowed social influence between...