GAME THEORY STUDY OF CURRENCY SPECULATION IN FINANCIAL MARKET
To guard from the risk of currency speculation, the course of currency speculation in the financial market was studied, in which the speculators target was the countries with strict exchange rate regulation. The Incomplete Information Dynamic Game Theory was applied to study the game between the government and the speculators. The Complete Information Static Game, Boxed Pigs Game and Evolutionary Game Theory were applied to study the game among speculators. The Nash Equilibrium solution was taken. The reason was analyzed that why there were different results among speculators who had attacked Pound and Hong Kong dollar. Conclusion is that the speculators succeed in the countries whose economy goes unsteady and the nominal currency value does not equal the actual currency value. China controls the exchange rate strictly as well but will open its capital market and then RMB can exchange freely. After this, the risk of currency speculation will increase steeply. The aim of above analysis is to enlighten the Chinese exchange rate system and economy operation.
Currency Speculation Game Theory Nash Equilibrium Sheep Effect Exchange Rate System
Ying Liu ShuJun Ye
School of Economics and Management, Beijing Jiao Tong University Beijing China
国际会议
杭州
英文
850-854
2006-10-12（万方平台首次上网日期，不代表论文的发表时间）