A controllable laboratory stock market for modeling real stock markets

Overall fluctuations and fat tails in an artificial financial market: The two-sided impact of leveraged trading

“…Agent-based models [21][22][23][24][25][26][27][28] and controlled human experiments [20,[29][30][31][32][33] have been regarded as two very promising new methods to explore economic systems. And the combination of these two methods to examine the same phenomenon is also shown to be a successful approach [34][35][36][37][38][39][40][41][42].…”

The Leverage Effect on Wealth Distribution in a Controllable Laboratory Stock Market

“…This controllable laboratory market method was also successfully used in the studies of another important resource allocation model: Market-Directed-Resource-Allocation-Game (a.k.a. MDRAG) [15] , [16] , and other related works on capital markets and resource distribution [17] – [19] . Compared to the traditional methods like empirical analysis and computer simulations, the laboratory stock market is a new and insightful tool to study leverage because it introduces the participation of human into an environment of “controlled experiment”.…”