The Quest to Stabilize an Unstable System by Financial Engineering. Reply to Sam Langfield

Author(s):  
Paul De Grauwe ◽  
Yuemei Ji
2008 ◽  
Vol 37 (11) ◽  
pp. 585-589
Author(s):  
Wolfgang Breuer ◽  
Benjamin Quinten ◽  
Nikolay Kachakliev

2015 ◽  
Vol 9 (3) ◽  
pp. 2487-2502 ◽  
Author(s):  
Igor V. Lebed

Scenario of appearance and development of instability in problem of a flow around a solid sphere at rest is discussed. The scenario was created by solutions to the multimoment hydrodynamics equations, which were applied to investigate the unstable phenomena. These solutions allow interpreting Stokes flow, periodic pulsations of the recirculating zone in the wake behind the sphere, the phenomenon of vortex shedding observed experimentally. In accordance with the scenario, system loses its stability when entropy outflow through surface confining the system cannot be compensated by entropy produced within the system. The system does not find a new stable position after losing its stability, that is, the system remains further unstable. As Reynolds number grows, one unstable flow regime is replaced by another. The replacement is governed tendency of the system to discover fastest path to depart from the state of statistical equilibrium. This striving, however, does not lead the system to disintegration. Periodically, reverse solutions to the multimoment hydrodynamics equations change the nature of evolution and guide the unstable system in a highly unlikely direction. In case of unstable system, unlikely path meets the direction of approaching the state of statistical equilibrium. Such behavior of the system contradicts the scenario created by solutions to the classic hydrodynamics equations. Unstable solutions to the classic hydrodynamics equations are not fairly prolonged along time to interpret experiment. Stable solutions satisfactorily reproduce all observed stable medium states. As Reynolds number grows one stable solution is replaced by another. They are, however, incapable of reproducing any of unstable regimes recorded experimentally. In particular, stable solutions to the classic hydrodynamics equations cannot put anything in correspondence to any of observed vortex shedding modes. In accordance with our interpretation, the reason for this isthe classic hydrodynamics equations themselves.


2019 ◽  
Vol 118 (10) ◽  
pp. 197-215
Author(s):  
Iman Muayad Merie Al_Khero ◽  
Sharul Effendy Bin Janudin ◽  
Azam Abdelhakeem Khalid

This paper aims to examines the relationship between the factors of financial engineering and financial engineering by using internal control (IC) as a moderator in Iraq banks


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