Homogeneously Saturated Model for Development in Time of the Price of an Asset

The time development of the price of a financial asset is considered by constructing and solving Langevin equations for a homogeneously saturated model, and for comparison, for a standard model and for a logistic model. The homogeneously saturated model uses coupled rate equations for the money supply and for the price of the asset, similar to the coupled rate equations for population inversion and power density in a simple model of a homogeneously broadened laser. Predictions of the models ar...