Related papers: Systemic Risk in the International System
Global financial systems are undergoing strategic shifts as geopolitical tensions reshape international trade and payments. The United States (US)-China trade war, sanctions regimes, and rising concerns over the weaponization of financial…
Neural systems process information in a dynamical regime between silence and chaotic dynamics. This has lead to the criticality hypothesis which suggests that neural systems reach such a state by self-organizing towards the critical point…
Dynamical processes on complex networks, ranging from biological, technological and social systems, show phase transitions between distinct global states of the system. Often, such transitions rely upon the interplay between the structure…
Controlling complex reaction networks is a fundamental challenge in the fields of physics, biology, and systems engineering. Here, we prove a general principle for catalytic reaction systems with kinetics where the reaction order and the…
In this study, we investigate system-level emergent risks of interacting AI agents. The core contribution of this work is an exploratory scenario-based identification of these risks as well as their categorization. We consider a multitude…
Advances in community detection reveal new insights into multiplex and multilayer networks. Less work, however, investigates the relationship between these communities and outcomes in social systems. We leverage these advances to shed light…
We review selected results related to robustness of networked systems in finite and asymptotically large size regimes, under static and dynamical settings. In the static setting, within the framework of flow over finite networks, we discuss…
The global financial crisis in 2007-2009 demonstrated that systemic risk can spread all over the world through a complex web of financial linkages, yet we still lack fundamental knowledge about the evolution of the financial web. In…
Terrorism instills fear in the minds of people and takes away the freedom of individuals to act as they will. Terrorism has turned out to be an international menace today. Here, we study the terrorist attack incidents which occurred in the…
In complex systems like financial market, risk tolerance of individuals is crucial for system resilience.The single-security price limit, designed as risk tolerance to protect investors by avoiding sharp price fluctuation, is blamed for…
Fault tolerance is increasingly important for unmanned autonomous vehicles. For example, in a multi robot system the agents need the ability to effectively detect and tolerate internal failures in order to continue performing their tasks…
An interbank market lets participants pool the risk arising from the combination of illiquid investments and random withdrawals by depositors. But it also creates the potential for one bank's failure to trigger off avalanches of further…
To understand how certain dynamical behaviors can or cannot persist as the underlying network grows is a problem of increasing importance in complex dynamical systems as well as sustainability science and engineering. We address the…
A general model for opinion formation and competition, like in ideological struggles is formulated. The underlying set is a closed one, like a country but in which the population size is variable in time. Several ideologies compete to…
Recent years have seen the world become a closely connected society with the emergence of different types of social networks. Online social networks have provided a way to bridge long distances and establish numerous communication channels…
In the current era of worldwide stock market interdependencies, the global financial village has become increasingly vulnerable to systemic collapse. The recent global financial crisis has highlighted the necessity of understanding and…
Notwithstanding the usefulness of system dynamics in analyzing complex policy problems, policy design is far from straightforward and in many instances trial-and-error driven. To address this challenge, we propose to combine system dynamics…
In today's global economy, supply chain (SC) entities have become increasingly interconnected with demand and supply relationships due to the need for strategic outsourcing. Such interdependence among firms not only increases efficiency but…
The dynamical evolution of many economic, sociological, biological and physical systems tends to be dominated by a relatively small number of unexpected, large changes (`extreme events'). We study the large, internal changes produced in a…
We present an analytical model to study the role of expectation feedbacks and overlapping portfolios on systemic stability of financial systems. Building on [Corsi et al., 2016], we model a set of financial institutions having Value at Risk…