3 ms·

I also don't know anything about this, but ... I'd guess that even if you can't solve the problem exactly you could find a tractable probabilistic solution tha

by rguzman 17y ago

I also don't know anything about this, but ... I'd guess that even if you can't solve the problem exactly you could find a tractable probabilistic solution that works x% of the time and traders spend their time finding such solutions. The real problem is that for the (1-x)% of the time when it doesn't work it wrecks major havoc.

coliveira 17y ago
Like all theorems in complexity, this one is saying something that is true only for the most general problems. Reality is, most problems found in the real world are just special cases of the truly generic NP-hard problems. That is why we can find algorithms for many of them (deterministic or stochastic). So, basically the theorem doesn't really say much about the financial problem, unless you believe that the modeling here is 100% correct - which, considering any non-trivial financial scenario, is not.