Agent-based approach to economic and financial analysis is a suitable research methodolgy for developing and understanding the complex patterns and phenomena that are observed in economic systems. In agent-based financial market models, prices can be endogenously formed by the system itself as the result of interaction of market participants. By using agents for the study, heterogeneous, boundedly rational, and adaptive behaviour of market participants can be analysed and its impact assessed. The collective behaviour of such groups is determined by the interaction of individual behaviours distributed across the group. This being the scenario prevailing in stock markets, agent based models are suitable for the study. Through this paper, we have attempted to illustrate a detailed implementation of multi agents in an artificial stock market invoking the agent-based methodology on Java Agent Development (JADE) environment, a platform to develop multi-agent systems. The Extended Glosten and Milgrom Model, an agent based artificial stock market model, has been chosen to depict the multi-agent environment model in JADE.
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P. N. Kumar, V.P, M., Abinaya, K., Vennilla, S., and Rupika, R., “Implementing an agent based artificial stock market model in JADE - an illustration”, International Journal of Engineering and Technology, vol. 5, pp. 2636-2648, 2013.