Financial Synchronicities in European Union's Rijekosijek Region: A Transgressively Nonlinear Econometric Approach
Journal Title: Journal of Economics, Finance and Management Studies - Year 2024, Vol 7, Issue 07
Abstract
The purpose of this paper is to delve into the intricate and abstruse dynamics of Croatia’s financial ecosystem through the application of novel econometric methodologies. The central research question we explore is: How do transgressively nonlinear econometric models encapsulate the hyperbolic discounting phenomena within the Croatian fiscal framework? The importance of this paper lies in its potential to redefine traditional econometric paradigms by integrating quantum financial concepts, fractal dynamics, and stochastic synchronicities. This interdisciplinary approach contributes to the existing body of literature by offering a novel perspective on the financial abstractions that govern Croatia’s economy. Methodologically, utilizing data from the FRED database, covering variables such as the Consumer Price Index (CPI), Real Gross Domestic Product (GDP), Unemployment Rate (U), 10-Year Treasury Constant Maturity Rate (IR), and U.S./Euro Foreign Exchange Rate (FX), the study employs a sophisticated system of stochastic differential equations (SDEs) to model these interactions. This innovative approach allows for the deconstruction of Croatia’s fiscal questions, providing deeper insights into the stochastic behaviour and quantum financial structures of its economy. The key conclusions of this paper underscore the inherent paradoxes and fiscal idiosyncrasies that characterize the Croatian economy. We find that Croatian financial markets are governed by underlying synchronicities that, while appearing random, follow a pattern of stochastic oscillations and fractal dynamics. This realization challenges conventional economic postulates and highlights the need for a paradigm shift in financial analysis.
Authors and Affiliations
Domagoj Sajter
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