Derivation of one-dimensional hydrodynamic model for stock price evolution

It was proved that balance equations for systems with corpuscular structure can be derived if a kinematic description by piece-wise analytic functions is available (Vamo et al., Physica A 227 (1996) 81). This article presents a rigorous derivation of an one-dimensional hydrodynamic model for the stock price evolution. The kinematic description is given by a set of time functions describing the evolution of the stock price