New leads in speculative behavior

A. Kindler, S. Bourgeois-Gironde, G. Lefebvre, S. Solomon

Research output: Contribution to journalArticlepeer-review


The Kiyotaki and Wright (1989) (henceforth KW) model of money emergence as a medium of exchange has been studied from various perspectives in recent papers. In the present work we propose a minimalistic model for the behavior of agents in the KW framework, which may either reproduce the theoretical predictions of Kiyotaki and Wright (1989) on the emerging Nash equilibria, or (less closely) the empirical results of Brown (1996), Duffy and Ochs (1999) and our own, introduced in a first part of the present paper. The main import is the systematic computer scanning of speculative monetary equilibria under drastic bounded rationality of agents, based on behavior previously observed in the lab.

Original languageEnglish
Pages (from-to)365-379
Number of pages15
JournalPhysica A: Statistical Mechanics and its Applications
StatePublished - 1 Feb 2017
Externally publishedYes

Bibliographical note

Publisher Copyright:
© 2016 Elsevier B.V.


  • Agent-based model
  • Bounded rationality
  • Kiyotaki & Wright
  • Speculation

ASJC Scopus subject areas

  • Statistical and Nonlinear Physics
  • Statistics and Probability


Dive into the research topics of 'New leads in speculative behavior'. Together they form a unique fingerprint.

Cite this