Application of Langevin Equation in Econometrics to the Interaction between the Exchange Rates of Japan and South Korea
Abstract
This articles presents and application of statistical physics to economic relationships, based on the fluctuation-dissipation theorem and the anomalous fluctuation therorem, and the Langevin equation. In the framework of time series which follow the Langevin equation, the interaction of two time series can be treated. The application to the won-dollar and yen-dollar rates shows that the former fluctuates under the influence of the latter.Download Info
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Article provided by Euro-American Association of Economic Development in its journal Applied Econometrics and International Development.
Volume (Year): 3 (2003)
Issue (Month): 3 ()
Pages:
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Handle: RePEc:eaa:aeinde:v:3:y:2003:i:3_17
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For corrections or technical questions regarding this item, or to correct its listing, contact: (M. Carmen Guisan).
Related research
Keywords:Find related papers by JEL classification:
- C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
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Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Obara, T., 2004. "Dynamics of Exchange Rate Fluctuations between Yen and the US-Dollar," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 4(1).
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