Physics of Econophysics

Details Physics of Econophysics Physics of Econophysics

2004-01-04

arxiv.org/abs/cond-mat/0401025v1

Physics

Condensed Matter

Soft Condensed Matter

23 pages, 16 figures, a review paper created for usage in our own group, maybe valuable for others

Scientific paper

Econophysics is a new area developed recently by the cooperation between economists, mathematicians and physicists. It's not a tool to predict future prices of stocks and exchange rates. It applies idea, method and models in Statistical Physics and Complexity to analyze data from economical phenomena. In this paper, three examples from three active main topics in Econophysics are presented first. Then using these examples, we analyze the role of Physics in Econophysics. Some comments and emphasis on Physics of Econophysics are included. New idea of network analysis for economy systems is proposed, while the actual analysis is still in progress.

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