Abstract:
We use quantum mechanical methods to model the price dynamics in
the financial market mathematically. We propose describing behavioral financial
factors using the pilot-wave (Bohmian) model of quantum mechanics.
The real price trajectories are determined (via the financial analogue
of the second Newton law) by two financial potentials:
the classical-like potential $V(q)$ (“hard” market conditions) and the quantumlike potential $U(q)$ (behavioral market conditions).
Keywords:quantum mechanics, financial market, Bohmian mechanics, information pilot wave, nonlinear price dynamics.
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