What is Econophysics
Markets and their ongoing economic activity have much in common with the natural processes that are a subject of study in physics. Both economics and physics have been trying to find rules for describing complex systems consisting of a large number of elements. Econophysics uses advanced theories and techniques successfully used primarily in statistical physics for understanding and modeling of complex economic phenomena.
What is it used for
Practical applications of econophysics primarily cover study and modeling of financial markets behavior. Econophysics and the ensuing theories and formulas are the basis of risk management when investing in the financial markets. Without them, disciplines such as modeling the impact of legislative changes on the economy or bank stress tests could not be conducted.
Analyze risk investments, create models of the future development of financial markets or your own scoring model for the evaluation of companies.
Want to know how customers will react to changes in prices and fees or how external factors affect your business? Predictive models will help you.