DOAJ Open Access 2017

The Relationship between the US Economy’s Information Processing and Absorption Ratio’s

Edgar Parker

Lihat Sumber DOI

Abstrak

After the 2008 financial collapse, Kritzman et al. 2010 introduced the now popular measure of implied systemic risk called the absorption ratio. This statistic is constructed from a fixed number of eigenvectors, and measures how closely the economy’s markets are coupled. The more closely financial markets are coupled the more susceptible they are to systemic collapse. Parker 2017 utilized information theory to develop the concept of entropic yield curve. From this equation, the implied information processing ratio or entropic efficiency of the economy can be derived. This entropic measure can also be useful in predicting economic downturns. In the current work, the relationship between these two ratios is explored.

Topik & Kata Kunci

General Works

Penulis (1)

Edgar Parker

Format Sitasi

APA MLA BibTeX

Parker, E. (2017). The Relationship between the US Economy’s Information Processing and Absorption Ratio’s. https://doi.org/10.3390/ecea-4-05013

Akses Cepat

Lihat di Sumber doi.org/10.3390/ecea-4-05013

Informasi Jurnal

Tahun Terbit: 2017
Sumber Database: DOAJ
DOI: 10.3390/ecea-4-05013
Akses: Open Access ✓