Article Outline
Glossary
Definition of the Subject
Introduction
Examples in Economics
Basic Models of Power Laws
Market Models
Income Distribution Models
Future Directions
Bibliography
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Abbreviations
- Fractal:
-
An adjective or a noun representing complex configurations having scale-free characteristics or self‐similar properties. Mathematically, any fractal can be characterized by a power law distribution.
- Power law distribution:
-
For this distribution the probability density is given by a power law, \({p(r)=c\cdot r^{-\alpha -1}}\), where c and α are positive constants.
- Foreign exchange market:
-
A free market of currencies, exchanging money in one currency for other, such as purchasing a United States dollar (USD) with Japanese yen (JPY). The major banks of the world are trading 24 hours and it is the largest market in the world.
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Books and Reviews
Takayasu H (2006) Practical Fruits of Econophysics. Springer, Tokyo
Chatterjee A, Chakrabarti BK (2007) Econophysics of Markets and Business Networks (New Economic Windows). Springer, New York
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Takayasu, M., Takayasu, H. (2012). Fractals and Economics. In: Meyers, R. (eds) Mathematics of Complexity and Dynamical Systems. Springer, New York, NY. https://doi.org/10.1007/978-1-4614-1806-1_32
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