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arxiv: cond-mat/0005043 · v1 · submitted 2000-05-02 · ❄️ cond-mat · nlin.AO

Mixed population Minority Game with generalized strategies

classification ❄️ cond-mat nlin.AO
keywords gamegeneralizedminoritymixedpopulationstrategytheoryvolatility
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We present a quantitative theory, based on crowd effects, for the market volatility in a Minority Game played by a mixed population. Below a critical concentration of generalized strategy players, we find that the volatility in the crowded regime remains above the random coin-toss value regardless of the "temperature" controlling strategy use. Our theory yields good agreement with numerical simulations.

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