Continuous and Discrete Stochastic Analysis

Academic year 2023/2024
Lecturer Alessandra Caraceni, Franco Flandoli

Examination procedure

Written and oral exam

Prerequisites

The lectures are addressed to PhD students, mainly oriented to applications. Previous knowledge of the basics of Probability are very useful, although not strictly necessary. No previous knowledge of stochastic processes is required.

Syllabus

Foundations and elementary examples: Probability space, conditional probability and independence, expected values and main results of calculus, discrete and continuous examples. Conditional expectation. Main limit theorems.

Elements of theory of stochastic processes. Brownian motion, Kolmogorov regularity theorem, quadratic variation.
Elements of martingale theory. Examples.
Elements of stochastic integration and stochastic differential equations. Links with Partial Differential Equations.


Continuous time Markov chains: some elements of theory, infinitesimal generators, useful rules. Random walks. Links between discrete and continuous theory.

Bibliographical references

Notes of the teachers.