Reviews and Testimonials
Computer scientists at the Bank of Mexico hope to promote computational simulation techniques as fundamental tools for modeling financial and economic problems by motivating young researchers to develop their own simulation-based methods to study various problems. The opening section of the collection analyzes the complex economic dynamics of payment systems and introduces agent-based modeling as a powerful simulation method for understanding participants' behavior in payment systems. Banking risk management is addressed in the second part, and examples of agent-based models in action are presented in the final section. Topics of the 18 papers include liquidity management in large value payment systems, measuring and charging for banks' systemic interconnectedness, a multi-agent financial network model of U.S. collateralized debt obligations, optimal patent design, and predicting volatile consumer markets.
– Book News Inc. Portland, OR