Overview
- Reviews how Nobel Prize winning economic ideas are revolutionized by artificial intelligence
- Enriches understanding of the financial markets in the age of artificial intelligence
- Treats both theoretical and practical aspects of artificial intelligence and economic theory
- Includes supplementary material: sn.pub/extras
Part of the book series: Advanced Information and Knowledge Processing (AI&KP)
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Table of contents (15 chapters)
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Front Matter
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Back Matter
Keywords
About this book
This book theoretically and practically updates major economic ideas such as demand and supply, rational choice and expectations, bounded rationality, behavioral economics, information asymmetry, pricing, efficient market hypothesis, game theory, mechanism design, portfolio theory, causality and financial engineering in the age of significant advances in man-machine systems. The advent of artificial intelligence has changed many disciplines such as engineering, social science and economics. Artificial intelligence is a computational technique which is inspired by natural intelligence concepts such as the swarming of birds, the working of the brain and the pathfinding of the ants.
Artificial Intelligence and Economic Theory: Skynet in the Market analyses the impact of artificial intelligence on economic theories, a subject that has not been studied. It also introduces new economic theories and these are rational counterfactuals and rational opportunity costs. These ideas are applied to diverse areas such as modelling of the stock market, credit scoring, HIV and interstate conflict. Artificial intelligence ideas used in this book include neural networks, particle swarm optimization, simulated annealing, fuzzy logic and genetic algorithms. It, furthermore, explores ideas in causality including Granger as well as the Pearl causality models.
Authors and Affiliations
About the authors
Evan Hurwitz is a South African computer scientist. He obtained his BSc Engineering (Electrical) (2004), his MSc Engineering (2006) from the University of the Witwatersrand and PhD from the University of Johannesburg in
2014 supervized by Tshilidzi Marwala. He is known for his work on teaching a computer how to bluff which was widely covered by the magazine New Scientist. Hurwitz together with Tshilidzi Marwala proposed that there is less level of information asymmetry between two artificial intelligent agents than between two human agents and that the more artificial intelligent there is in the market the less is the volume of trades in the market.
Bibliographic Information
Book Title: Artificial Intelligence and Economic Theory: Skynet in the Market
Authors: Tshilidzi Marwala, Evan Hurwitz
Series Title: Advanced Information and Knowledge Processing
DOI: https://doi.org/10.1007/978-3-319-66104-9
Publisher: Springer Cham
eBook Packages: Computer Science, Computer Science (R0)
Copyright Information: Springer International Publishing AG 2017
Hardcover ISBN: 978-3-319-66103-2Published: 25 September 2017
Softcover ISBN: 978-3-319-88177-5Published: 15 August 2018
eBook ISBN: 978-3-319-66104-9Published: 18 September 2017
Series ISSN: 1610-3947
Series E-ISSN: 2197-8441
Edition Number: 1
Number of Pages: XII, 204
Number of Illustrations: 67 b/w illustrations
Topics: Artificial Intelligence, Models and Principles, Economic Theory/Quantitative Economics/Mathematical Methods