Modelling widely scattered states in ‘synchronized’ traffic flow and possible relevance for stock market dynamics

Dirk Helbing, Davide Batic, Martin Schoönhof, Martin Treiber

Research output: Contribution to journalArticlepeer-review

11 Scopus citations

Abstract

Traffic flow at low densities (free traffic) is characterized by a quasi-one-dimensional relation between traffic flow and vehicle density, while no such fundamental diagram exists for 'synchronized' congested traffic flow. Instead, a two-dimensional area of widely scattered flow-density data is observed as a consequence of a complex traffic dynamics. For an explanation of this phenomenon and transitions between the different traffic phases, we propose a new class of molecular-dynamics like microscopic traffic models based on times to collisions and discuss the properties by means of analytical arguments. Similar models may help to understand the laminar and turbulent phases in the dynamics of stock markets as well as the transitions among them.

Original languageBritish English
Pages (from-to)251-260
Number of pages10
JournalPhysica A: Statistical Mechanics and its Applications
Volume303
Issue number1-2
DOIs
StatePublished - 1 Jan 2002

Keywords

  • Fluctuations
  • Stock market
  • Synchronized congested flow
  • Traffic dynamics
  • Volatility

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