Universal Laws Applied to Trading

20 October 2014, 11:26
TipMyPip
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A potent theory has emerged explaining a mysterious statistical law that arises throughout physics and mathematics. Imagine an archipelago where each island hosts a single tortoise species and all the islands are connected — say by rafts of flotsam. As the tortoises interact by dipping into one another’s food supplies, their populations fluctuate. In 1972, the biologist Robert May devised a simple mathematical model that worked much like the archipelago. He wanted to figure out whether a complex ecosystem can ever be stable or whether interactions between species inevitably lead some to wipe out others. Would you know how to unify the laws of trading?