LOGISTIC MODEL FOR BANK DYNAMICS WITH FINITE DIFFERENCE EQUATION AND FIXED POINT STABILITY ANALYSIS
Banks are financial institutions which main function is to collect funds from the public in the form of savings and channel them back to the community in the form of loans. In its operations, the bank will gain profit from loan interest and also from the investment made by the bank itself. In this F...
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| Format: | Final Project |
| Language: | Indonesia |
| Online Access: | https://digilib.itb.ac.id/gdl/view/74553 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | Banks are financial institutions which main function is to collect funds from the public in the form of savings and channel them back to the community in the form of loans. In its operations, the bank will gain profit from loan interest and also from the investment made by the bank itself. In this Final Project, a finite difference equation model which is adopted from the differential equation is created to represent the Third Party Funds (TPF)/Deposits, Credit/Loans, and Equity models in banks. Parameter estimation will be carried out using the Spiral Optimization Algorithm method by minimizing the Mean Average Percentage Error (MAPE) objective function to represent real data. Determination of fixed points for the TPF/Deposits, Credit/Loans, and Equity models will be carried out and the stability of these fixed points will be observed. After that, the effect of changes in parameters will also be observed to see the behavior of TPF/Deposits, Credit/Loans, and Equity in the long term. |
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