Dynamics of 1D discontinuous maps with multiple partitions and linear functions having the same fixed point. An application to financial market modeling

  • L. Gardini
  • , Davide Radi*
  • , N. Schmitt
  • , Iryna Sushko
  • , F. Westerhoff
  • *Autore corrispondente per questo lavoro

Risultato della ricerca: Contributo in rivistaArticolo

Abstract

Piecewise smooth systems are intensively studied today in many application areas, such as economics, finance, engineering, biology, and ecology. In this work, we consider a class of one-dimensional piecewise linear discontinuous maps with a finite number of partitions and functions sharing the same real fixed point. We show that the dynamics of this class of maps can be analyzed using the well-known piecewise linear circle map. We prove that their bounded behavior, when unrelated to the fixed point, may consist of either nonhyperbolic cycles or quasiperiodic orbits densely filling certain segments, with possible coexistence. A corresponding model describing the price dynamics of a financial market serves as an illustrative example. While simulated model dynamics may be mistaken for chaotic behavior, our results demonstrate that they are quasiperiodic.
Lingua originaleInglese
pagine (da-a)N/A-N/A
RivistaPhysica D: Nonlinear Phenomena
Volume482
Numero di pubblicazioneNovember
DOI
Stato di pubblicazionePubblicato - 2025

All Science Journal Classification (ASJC) codes

  • Fisica Statistica e Non Lineare
  • Fisica Matematica
  • Fisica della Materia Condensata
  • Matematica Applicata

Keywords

  • Circle maps
  • Discontinuous maps
  • Financial market models
  • Lorenz maps
  • Piecewise linear maps

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