TY - JOUR
T1 - Dynamics of 1D discontinuous maps with multiple partitions and linear functions having the same fixed point. An application to financial market modeling
AU - Gardini, L.
AU - Radi, Davide
AU - Schmitt, N.
AU - Sushko, Iryna
AU - Westerhoff, F.
PY - 2025
Y1 - 2025
N2 - 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.
AB - 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.
KW - Circle maps
KW - Discontinuous maps
KW - Financial market models
KW - Lorenz maps
KW - Piecewise linear maps
KW - Circle maps
KW - Discontinuous maps
KW - Financial market models
KW - Lorenz maps
KW - Piecewise linear maps
UR - https://publicatt.unicatt.it/handle/10807/324141
UR - https://www.scopus.com/inward/citedby.uri?partnerID=HzOxMe3b&scp=105014265605&origin=inward
UR - https://www.scopus.com/inward/record.uri?partnerID=HzOxMe3b&scp=105014265605&origin=inward
U2 - 10.1016/j.physd.2025.134895
DO - 10.1016/j.physd.2025.134895
M3 - Article
SN - 0167-2789
VL - 482
SP - N/A-N/A
JO - Physica D: Nonlinear Phenomena
JF - Physica D: Nonlinear Phenomena
IS - November
ER -