102 items sold
Publisher:Cambridge University Press
File:PDF, 14.29 MB
Categories: Business & Money, ebooks, Engineering, Technology & Mathematics, Mathematics Tags: mathematicals, Quantum Field Theory for Economics and Finance Belal Ehsan Baaquie
Quantum Field Theory for Economics and Finance
Its an introduction to how we can apply the mathematical tools from Quantum Field Theory to economics and finance. Providing a range of quantum mathematical techniques for designing financial instruments. It demonstrates how a range of topics have quantum mechanical formulations, from asset pricing to interest rates.
More informations about the book
An introduction to how we can apply the mathematical tools from quantum field theory to economics and finance. Providing a wide range of quantum mathematical techniques for designing financial instruments.
The author demonstrated the ideas of Lagrangians, Hamiltonians, state spaces, operators and Feynman path integrals to be the mathematical underpinning of quantum field theory. We employ them to formulate a comprehensive mathematical theory of asset pricing as well as of interest rates, which are validated by empirical evidence.
Moreover, we apply numerical algorithms and simulations to the study of asset pricing models, as well as of nonlinear interest rates. It show a range of economic and financial topics to have quantum mechanical formulations, including options, coupon bonds, nonlinear interest rates, risky bonds and the microeconomic action functional.
This is an invaluable resource for experts in quantitative finance and in mathematics who have no specialist knowledge of quantum field theory.
Quantum Field Theory for Economics and Finance review:
This book could be just the volume for someone wanting to make the transition from calculating matrix elements to designing financial instruments. The book’s structure interleaves traditional lessons in quantum field theory with topics in econophysics, producing a rather novel result.’
Stephen J. Blundell Source: Contemporary Physics
Belal Ehsan Baaquie is a Professor at The International Centre for Education in Islamic Finance. He received his training in theoretical physics at the California Institute of Technology and Cornell University, New York, specializing in quantum field theory. After that, he later developed an interest in finance and economics, and started applying quantum mathematics to these fields. He has written two books on quantum finance:
-Quantum Finance (Cambridge, 2007).
-Interest Rates and Coupon Bonds in Quantum Finance (Cambridge, 2009)
In addition to several other books focusing on topics as quantum mechanics, mathematics & the leading ideas in science.