Herd vs Profit Earning behiviors in the current crisis

I was having a look to herd behavior agent based model.
May I allow some criticisms of these models, because I really believe that they are dead end research directions.

1) herd behavior is mainly a psychological effect. I can't believe that a mathematical model can capture these effects reliably.
2) how can you expect calibrating the "psychological" parameters that are hidden inside, I mean operationally.
3) Herd can be interpreted in a profit earning setting (Adam Smith as far as I remember).
4) I have been told that now more than 50% of equity market orders are issued by algorithmic trading bots. Are bots herd or profit earning oriented ?

Profit earning agent based model are much more interesting to my opinion, because they lead to (stochastically) deterministic systems.

1) no extra calibration parameters
2) You can push analysis to infinite number of agents: you get full access to the whole continuous analysis tools.
3) Thus they can be efficiently worked out and forecasted: they should allow to compute the probability of occurence of burst formation at any future date. I would think that this measurement is what risk managers need.
4) The current crisis is clearly a profit earning one: listen to bonuses scandal that are echoed all over the world.

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