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# I have an equation that predicts the stock market!
dx/dt = -cx + s dW/dt

what a natty gnat! :)
(, Thu 9 Oct 2008, 10:00, archived)
# that equation predicts that there will be a stock market?
WRONG!
(, Thu 9 Oct 2008, 10:02, archived)
# that thing goes to zero exponentially fast.
so, no it doesn't predict a stock market in the long run
(, Thu 9 Oct 2008, 10:05, archived)
# okay then
So W, x and s are what then?
(, Thu 9 Oct 2008, 10:08, archived)
# *rasberries*
x=some state of the stock market ie it's value
t=time
W=wiener process, some random noise fluctation
c=jolly large positive constant
s= small noise constant

it doesn't reach zero it will sortof fluctuate around zero.
Disclaimer: this doesn't actually describe the stock market. I just made it up.
(, Thu 9 Oct 2008, 10:09, archived)
# W x and s are not raspberries
...
(, Thu 9 Oct 2008, 10:10, archived)
# you edited that in after i did the rasberries.
on purpose i suspect.
(, Thu 9 Oct 2008, 10:13, archived)
# no
not on purpose

:)
(, Thu 9 Oct 2008, 10:17, archived)
# here's a numerical realisation of the equation
(, Thu 9 Oct 2008, 10:20, archived)
# :D
learning is fun
(, Thu 9 Oct 2008, 11:31, archived)