Hopf bifurcation of a financial dynamical system with delay

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Calis Y., Demirci A., Özemir C.

MATHEMATICS AND COMPUTERS IN SIMULATION, vol.201, pp.343-361, 2022 (SCI-Expanded) identifier identifier

  • Publication Type: Article / Article
  • Volume: 201
  • Publication Date: 2022
  • Doi Number: 10.1016/j.matcom.2022.05.003
  • Journal Indexes: Science Citation Index Expanded (SCI-EXPANDED), Scopus, Academic Search Premier, Applied Science & Technology Source, Computer & Applied Sciences, INSPEC, Public Affairs Index, zbMATH
  • Page Numbers: pp.343-361
  • Keywords: Delayed financial model, Hopf bifurcation, Stability analysis, GLOBAL COMPLICATED CHARACTER, TOPOLOGICAL-STRUCTURE, CHAOS, ZEROS, MODEL, KIND
  • Istanbul Technical University Affiliated: Yes


The aim of this work is to investigate the qualitative behaviour of a financial dynamical system which contains a time delay. We investigate the dynamic response of this system of which variables are interest rate, investment demand, price index and average profit margin. As a plus to the available literature, the model investigated takes into account a timed delayed feedback in the investment demand. We perform a stability analysis at the fixed points and show that the system undergoes a Hopf bifurcation using well-known methods of stability analyses for delayed systems. The bifurcation analyses are supported by numerical simulations. The analysis reveals that for a set of parameters for which the non-delayed system is stable, a delay in the investment demand may drive the system to instability.(c) 2022 International Association for Mathematics and Computers in Simulation (IMACS). Published by Elsevier B.V. All rights reserved.