Mathematics for Economics and Finance

Methods and Modelling

Author: Martin Anthony,Norman Biggs

Publisher: Cambridge University Press

ISBN: 9780521559133

Category: Business & Economics

Page: 394

View: 752

Mathematics has become indispensable in the modelling of economics, finance, business and management. Without expecting any particular background of the reader, this book covers the following mathematical topics, with frequent reference to applications in economics and finance: functions, graphs and equations, recurrences (difference equations), differentiation, exponentials and logarithms, optimisation, partial differentiation, optimisation in several variables, vectors and matrices, linear equations, Lagrange multipliers, integration, first-order and second-order differential equations. The stress is on the relation of maths to economics, and this is illustrated with copious examples and exercises to foster depth of understanding. Each chapter has three parts: the main text, a section of further worked examples and a summary of the chapter together with a selection of problems for the reader to attempt. For students of economics, mathematics, or both, this book provides an introduction to mathematical methods in economics and finance that will be welcomed for its clarity and breadth.

Mathematics for Economics and Finance

Methods and Modelling

Author: Martin Anthony,Norman Biggs

Publisher: Cambridge University Press

ISBN: 1139643266

Category: Mathematics

Page: N.A

View: 8300

Mathematics has become indispensable in the modelling of economics, finance, business and management. Without expecting any particular background of the reader, this book covers the following mathematical topics, with frequent reference to applications in economics and finance: functions, graphs and equations, recurrences (difference equations), differentiation, exponentials and logarithms, optimisation, partial differentiation, optimisation in several variables, vectors and matrices, linear equations, Lagrange multipliers, integration, first-order and second-order differential equations. The stress is on the relation of maths to economics, and this is illustrated with copious examples and exercises to foster depth of understanding. Each chapter has three parts: the main text, a section of further worked examples and a summary of the chapter together with a selection of problems for the reader to attempt. For students of economics, mathematics, or both, this book provides an introduction to mathematical methods in economics and finance that will be welcomed for its clarity and breadth.

Mathematical Methods and Models for Economists

Author: Angel de la Fuente

Publisher: Cambridge University Press

ISBN: 9780521585293

Category: Business & Economics

Page: 835

View: 7808

A textbook for a first-year PhD course in mathematics for economists and a reference for graduate students in economics.

Elements of Mathematics for Economics and Finance

Author: Vassilis C. Mavron,Timothy N. Phillips

Publisher: Springer Science & Business Media

ISBN: 9781846285615

Category: Mathematics

Page: 312

View: 769

This book equips undergraduates with the mathematical skills required for degree courses in economics, finance, management, and business studies. The fundamental ideas are described in the simplest mathematical terms, highlighting threads of common mathematical theory in the various topics. Coverage helps readers become confident and competent in the use of mathematical tools and techniques that can be applied to a range of problems.

Mathematics for Economics

An Integrated Approach

Author: Mik Wisniewski

Publisher: Palgrave

ISBN: 1137015462

Category: Business & Economics

Page: 544

View: 9732

This book shows how mathematics is used in developing economic theory and in applied economic analysis. The text gradually develops the mathematical skills needed by students and allows them to progress at their own pace. A wide variety of examples shows how, and why, the application of mathematics has become essential to economists.

Financial Statistics and Mathematical Finance

Methods, Models and Applications

Author: Ansgar Steland

Publisher: John Wiley & Sons

ISBN: 1118316568

Category: Business & Economics

Page: 400

View: 7645

Mathematical finance has grown into a huge area of research which requires a lot of care and a large number of sophisticated mathematical tools. Mathematically rigorous and yet accessible to advanced level practitioners and mathematicians alike, it considers various aspects of the application of statistical methods in finance and illustrates some of the many ways that statistical tools are used in financial applications. Financial Statistics and Mathematical Finance: Provides an introduction to the basics of financial statistics and mathematical finance. Explains the use and importance of statistical methods in econometrics and financial engineering. Illustrates the importance of derivatives and calculus to aid understanding in methods and results. Looks at advanced topics such as martingale theory, stochastic processes and stochastic integration. Features examples throughout to illustrate applications in mathematical and statistical finance. Is supported by an accompanying website featuring R code and data sets. Financial Statistics and Mathematical Finance introduces the financial methodology and the relevant mathematical tools in a style that is both mathematically rigorous and yet accessible to advanced level practitioners and mathematicians alike, both graduate students and researchers in statistics, finance, econometrics and business administration will benefit from this book.

Numerical Methods and Optimization in Finance

Author: Manfred Gilli,Dietmar Maringer,Enrico Schumann

Publisher: Academic Press

ISBN: 0123756634

Category: Mathematics

Page: 600

View: 1707

This book describes computational finance tools. It covers fundamental numerical analysis and computational techniques, such as option pricing, and gives special attention to simulation and optimization. Many chapters are organized as case studies around portfolio insurance and risk estimation problems. In particular, several chapters explain optimization heuristics and how to use them for portfolio selection and in calibration of estimation and option pricing models. Such practical examples allow readers to learn the steps for solving specific problems and apply these steps to others. At the same time, the applications are relevant enough to make the book a useful reference. Matlab and R sample code is provided in the text and can be downloaded from the book's website. Shows ways to build and implement tools that help test ideas Focuses on the application of heuristics; standard methods receive limited attention Presents as separate chapters problems from portfolio optimization, estimation of econometric models, and calibration of option pricing models

Optimization in Economics and Finance

Some Advances in Non-Linear, Dynamic, Multi-Criteria and Stochastic Models

Author: Bruce D. Craven,Sardar M. N. Islam

Publisher: Springer Science & Business Media

ISBN: 0387242805

Category: Business & Economics

Page: 161

View: 4983

Some recent developments in the mathematics of optimization, including the concepts of invexity and quasimax, have not yet been applied to models of economic growth, and to finance and investment. Their applications to these areas are shown in this book.

Essential Mathematics for Economics and Business

Author: Teresa Bradley

Publisher: John Wiley & Sons

ISBN: 1118358295

Category: Business & Economics

Page: 688

View: 9813

Containing numerous worked examples and exercises, this text aims to help students improve their understanding of key concepts and to develop stronger mathematical skills.

Mathematical Techniques in Finance

Tools for Incomplete Markets

Author: Ales Cerný

Publisher: Princeton University Press

ISBN: 1400831482

Category: Business & Economics

Page: 416

View: 831

Originally published in 2003, Mathematical Techniques in Finance has become a standard textbook for master's-level finance courses containing a significant quantitative element while also being suitable for finance PhD students. This fully revised second edition continues to offer a carefully crafted blend of numerical applications and theoretical grounding in economics, finance, and mathematics, and provides plenty of opportunities for students to practice applied mathematics and cutting-edge finance. Ales Cerný mixes tools from calculus, linear algebra, probability theory, numerical mathematics, and programming to analyze in an accessible way some of the most intriguing problems in financial economics. The textbook is the perfect hands-on introduction to asset pricing, optimal portfolio selection, risk measurement, and investment evaluation. The new edition includes the most recent research in the area of incomplete markets and unhedgeable risks, adds a chapter on finite difference methods, and thoroughly updates all bibliographic references. Eighty figures, over seventy examples, twenty-five simple ready-to-run computer programs, and several spreadsheets enhance the learning experience. All computer codes have been rewritten using MATLAB and online supplementary materials have been completely updated. A standard textbook for graduate finance courses Introduction to asset pricing, portfolio selection, risk measurement, and investment evaluation Detailed examples and MATLAB codes integrated throughout the text Exercises and summaries of main points conclude each chapter

Economic Models

Methods, Theory and Applications

Author: Dipak R. Basu

Publisher: World Scientific

ISBN: 9812836454

Category: Business & Economics

Page: 225

View: 6729

Model Building is the most fruitful area of economics, designed to solve real-world problems using all available methods such as mathematical, computational and analytical, without distinction. Wherever necessary, we should not be reluctant to develop new techniques, whether mathematical or computational. That is the philosophy of this volume. The volume is divided into three distinct parts: Methods, Theory and Applications. The Methods section is in turn subdivided into Mathematical Programming and Econometrics and Adaptive Control System, which are widely used in econometric analysis. The impacts of fiscal policy in a regime with independent monetary authority and dynamic models of environmental taxation are considered. In the section on "Modelling Business Organization," a model of a Japanese organization is presented. Furthermore, a model suitable for an efficient budget management of a health service unit by applying goal programming method is analyzed, taking into account various socio-economic factors. This is followed by a section on "Modelling National Economies," in which macroeconometric models for the EU member countries are analyzed, to find instruments that stabilize inflation with coordinated action.

Business Economics and Finance with MATLAB, GIS, and Simulation Models

Author: Patrick L. Anderson

Publisher: CRC Press

ISBN: 9780203494653

Category: Mathematics

Page: 500

View: 2629

This book takes recent theoretical advances in Finance and Economics and shows how they can be implemented in the real world. It presents tactics for using mathematical and simulation models to solve complex tasks of forecasting income, valuing businesses, predicting retail sales, and evaluating markets and tax and regulatory problems. Business Economics and Finance with Matlab, GIS, and Simulation Models provides a unique overview of sophisticated business and financial applications. It describes models that have been developed for analysis of retail sales, tax policy, location, economic impact, public policy issues, and other challenges faced by executives, investors, and economists on a daily basis. It also offers groundbreaking insight into the many calculation and modeling tools that can be remotely hosted and run over the Internet, resulting in substantial user benefits and cost savings. This book is the first to fully explore the capabilities of MATLAB in the field of business economics, and explain how the benefits of sophisticated mathematical models can be provided to users via the Internet, using a thin-client environment. Many techniques directly incorporate geographic information and GIS in a way that was impossible until quite recently. Some techniques, such as fuzzy logic, retail sales, economic and fiscal impact models, and other Matlab and Simulink models, are described for the first time in print in this book. The sections on business income and value break new ground by directly incorporating uncertainty, real option value, and prediction of variables using Ito and jump processes. Using dozens of examples, hundreds of references, and rigorous explanations of both theory and practice, it will become a prized reference for analysts demanding the best techniques.

Numerical Methods in Economics

Author: Kenneth L. Judd

Publisher: MIT Press

ISBN: 9780262100717

Category: Business & Economics

Page: 633

View: 1090

"Judd's book is a masterpiece which will help transform the way economic theory is done. It harnesses the computer revolution in the service of economic theory by collecting together a whole array of numerical methods to simulate and quantify models that used to be purely algebraic and qualitative." -- Avinash K. Dixit, Sherrerd University Professor of Economics, Princeton University To harness the full power of computer technology, economists need to use a broad range of mathematical techniques. In this book, Kenneth Judd presents techniques from the numerical analysis and applied mathematics literatures and shows how to use them in economic analyses. The book is divided into five parts. Part I provides a general introduction. Part II presents basics from numerical analysis on "Rn," including linear equations, iterative methods, optimization, nonlinear equations, approximation methods, numerical integration and differentiation, and Monte Carlo methods. Part III covers methods for dynamic problems, including finite difference methods, projection methods, and numerical dynamic programming. Part IV covers perturbation and asymptotic solution methods. Finally, Part V covers applications to dynamic equilibrium analysis, including solution methods for perfect foresight models and rational expectation models. A web site contains supplementary material including programs and answers to exercises.

Mathematical Methods and Theory in Games, Programming, and Economics

Matrix Games, Programming, and Mathematical Economics

Author: Samuel Karlin

Publisher: Elsevier

ISBN: 1483222985

Category: Mathematics

Page: 444

View: 7086

Matrix Games, Programming, and Mathematical Economics deals with game theory, programming theory, and techniques of mathematical economics in a single systematic theory. The principles of game theory and programming are applied to simplified problems related to economic models, business decisions, and military tactics. The book explains the theory of matrix games and some of the tools used in the analysis of matrix games. The text describes optimal strategies for matrix games which have two basic properties, as well as the construction of optimal strategies. The book investigates the structure of sets of solutions of discrete matrix games, with emphasis on the class of games whose solutions are unique. The examples show the use of dominance concepts, symmetries, and probabilistic arguments that emphasize the principles of game theory. One example involves two opposing political parties in an election campaign, particularly, how they should distribute their advertising efforts for wider exposure. The text also investigates how to determine an optimal program from several choices that results with the maximum or minimum objective. The book also explores the analogs of the duality theorem, the equivalence of game problems to linear programming problems, and also the inter-industry nonlinear activity analysis model requiring special mathematical methods. The text will prove helpful for students in advanced mathematics and calculus. It can be appreciated by mathematicians, engineers, economists, military strategists, or statisticians who formulate decisions using mathematical analysis and linear programming.

Calculus: Concepts and Methods

Author: Ken Binmore,Joan Davies

Publisher: Cambridge University Press

ISBN: 1139643622

Category: Mathematics

Page: N.A

View: 3268

The pebbles used in ancient abacuses gave their name to the calculus, which today is a fundamental tool in business, economics, engineering and the sciences. This introductory book takes readers gently from single to multivariate calculus and simple differential and difference equations. Unusually the book offers a wide range of applications in business and economics, as well as more conventional scientific examples. Ideas from univariate calculus and linear algebra are covered as needed, often from a new perspective. They are reinforced in the two-dimensional case, which is studied in detail before generalisation to higher dimensions. Although there are no theorems or formal proofs, this is a serious book in which conceptual issues are explained carefully using numerous geometric devices and a wealth of worked examples, diagrams and exercises. Mathematica has been used to generate many beautiful and accurate, full-colour illustrations to help students visualise complex mathematical objects. This adds to the accessibility of the text, which will appeal to a wide audience among students of mathematics, economics and science.

Stochastic Methods in Economics and Finance

Author: Walter F Mullady Sr Professor of Economics and Finance A G Malliaris,A.G. Malliaris

Publisher: North Holland

ISBN: N.A

Category: Business & Economics

Page: 303

View: 3563

Theory and application of a variety of mathematical techniques in economics are presented in this volume. Topics discussed include: martingale methods, stochastic processes, optimal stopping, the modeling of uncertainty using a Wiener process, Itô's Lemma as a tool of stochastic calculus, and basic facts about stochastic differential equations. The notion of stochastic ability and the methods of stochastic control are discussed, and their use in economic theory and finance is illustrated with numerous applications. The applications covered include: futures, pricing, job search, stochastic capital theory, stochastic economic growth, the rational expectations hypothesis, a stochastic macroeconomic model, competitive firm under price uncertainty, the Black-Scholes option pricing theory, optimum consumption and portfolio rules, demand for index bonds, term structure of interest rates, the market risk adjustment in project valuation, demand for cash balances and an asset pricing model.

Basic Mathematics for Economists

Author: Mike Rosser,Piotr Lis

Publisher: Routledge

ISBN: 1317280830

Category: Business & Economics

Page: 620

View: 9932

Basic Mathematics for Economists, now in its 3rd edition, is a classic of its genre and this new edition builds on the success of previous editions. Suitable for students who may only have a basic mathematics background, as well as students who may have followed more advanced mathematics courses but who still want a clear explanation of fundamental concepts, this book covers all the basic tenets required for an understanding of mathematics and how it is applied in economics, finance and business. Starting with revisions of the essentials of arithmetic and algebra, students are then taken through to more advanced topics in calculus, comparative statics, dynamic analysis, and matrix algebra, with all topics explained in the context of relevant applications, New features in this third edition reflect the increased emphasis on finance in many economics and related degree courses, with fuller analysis of topics such as: savings and pension schemes, including draw down pensions asset valuation techniques for bond and share prices the application of integration to concepts in economics and finance input-output analysis, using spreadsheets to do matrix algebra calculations In developing new topics the book never loses sight of their applied context and examples are always used to help explain analysis. This book is the most logical, user-friendly book on the market and is usable for mathematics of economics, finance and business courses in all countries.

Numerical Methods in Finance and Economics

A MATLAB-Based Introduction

Author: Paolo Brandimarte

Publisher: John Wiley & Sons

ISBN: 1118625579

Category: Mathematics

Page: 696

View: 1802

A state-of-the-art introduction to the powerful mathematical and statistical tools used in the field of finance The use of mathematical models and numerical techniques is a practice employed by a growing number of applied mathematicians working on applications in finance. Reflecting this development, Numerical Methods in Finance and Economics: A MATLAB?-Based Introduction, Second Edition bridges the gap between financial theory and computational practice while showing readers how to utilize MATLAB?--the powerful numerical computing environment--for financial applications. The author provides an essential foundation in finance and numerical analysis in addition to background material for students from both engineering and economics perspectives. A wide range of topics is covered, including standard numerical analysis methods, Monte Carlo methods to simulate systems affected by significant uncertainty, and optimization methods to find an optimal set of decisions. Among this book's most outstanding features is the integration of MATLAB?, which helps students and practitioners solve relevant problems in finance, such as portfolio management and derivatives pricing. This tutorial is useful in connecting theory with practice in the application of classical numerical methods and advanced methods, while illustrating underlying algorithmic concepts in concrete terms. Newly featured in the Second Edition: * In-depth treatment of Monte Carlo methods with due attention paid to variance reduction strategies * New appendix on AMPL in order to better illustrate the optimization models in Chapters 11 and 12 * New chapter on binomial and trinomial lattices * Additional treatment of partial differential equations with two space dimensions * Expanded treatment within the chapter on financial theory to provide a more thorough background for engineers not familiar with finance * New coverage of advanced optimization methods and applications later in the text Numerical Methods in Finance and Economics: A MATLAB?-Based Introduction, Second Edition presents basic treatments and more specialized literature, and it also uses algebraic languages, such as AMPL, to connect the pencil-and-paper statement of an optimization model with its solution by a software library. Offering computational practice in both financial engineering and economics fields, this book equips practitioners with the necessary techniques to measure and manage risk.