Abstract: The market tends to be inefficient in the traditional artificial stock market,which lacks of economic implications for the heterogeneity of investors, and does not consider the influence of herd behavior that exists widely in the real market.Based on the heterogeneous information trading model in the call options market, the heterogeneous information strategy and the herd behavior in the dynamic scale-free neighbor relationship network are introduced into the traditional artificial financial market to construct the artificial stock market model, and the evolution of information strategy of the heterogeneous investor and herd behavior is studied. The influence of different mechanisms on the market is compared and analyzed and the result of information strategy evolution in dynamic relational networks is revealled. It is found that:on the one hand, the introduction of information strategy evolution mechanism speeds up the market equilibrium rate and improves the market efficiency, while also greatly reducing the level of investor wealth and widening the wealth gap. The evolution of information strategy and herd behavior does not lead investors to focus entirely on insider information traders, all the information grade investors will exist, and high information grade investors are mostly dominated and other information grade investors will not be out of the market.On the other hand, the introduction of dynamic relations network enhances the degree of infection of investors, and further narrows the wealth gap between investors, but also significantly improves the quality and efficiency of insider information diffusion.So,the investors in the high and low information grades have their own relative advantages in the process of evolution in the dynamic network,but the investors in other information grades will exist.And when the regulators seek a higher efficiency in the market, they should also make an appropriate trade-off among the market efficient,investors' wealth and total social wealth.

Key words: artificial stock market, dynamic scale-free network, information strategy, herd behavior