AN APPROACH TO A DYNAMIC SYSTEM SIMULATION BASED ON HUMAN INFORMATION PROCESSING

Abstract

As we know that human intellectual activities are performed by the use of language; a human being thinks and reasons with language. In this paper, we propose a new simulation method which imitates human information processing based on the use of language. — An ordinary simulation method uses mathematical equations to estimate the future trends of a dynamic system, however, we propose a new simulation method which uses a model consists of natural language, which is called a linguistic model. A linguistic model does not have a fixed structure, but the structure of the model itself will be generated so that model should become the most appropriate model to estimate the future behavior of a dynamic system. We regard that human intellectual activities such as thinking, reasoning, etc. are also texts realized by context as well as a linguistic text is done by context. We show a human linguistic reasoning model generation with an example of forecast of foreign exchange rate (FER) changes.