README.md

copernicus-transactions

Simulation aiming to research whether the Copernicus-Gresham's law defined by Nikolas Copernicus (in some shape or form) holds in a multi-currency market. The model is described in depth on my website.

Running the simulation

python \.simulate.py --population_size 1000
                     --number_of_countries 4
                     --number_of_currencies 4
                     --even_countries_currencies_spread True
                     --number_of_transactions 100
                     --number_of_episodes 500
                     --figure_convolution_window_size 10
                     --save_figure False
                     --verbose True
                     --increase_weakest_currency True
                     --alpha 2
                     --beta 0.5
                     --gamma 0.3856
                     --delta 1.5
                     --epsilon 0.5
                     --zeta 10

or type

python \.simulate.py --help

for additional information.

Notes

The willingness of people to make a transaction with a foreigner (gamma) makes sense to be equal to (100% - 61.44%) / 61.44% = 0.6276 since 61.44% this is the average Trade Openness Index (sum of exports and imports compared to GDP.)