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Price-mediated contagion occurs when a positive feedback loop develops following a drop in asset prices which forces banks and other financial institutions to sell their holdings. Prior studies of such events fix the level of market…

Risk Management · Quantitative Finance 2024-09-05 Zhiyu Cao , Zachary Feinstein

We study the incentives of banks in a financial network, where the network consists of debt contracts and credit default swaps (CDSs) between banks. One of the most important questions in such a system is the problem of deciding which of…

Risk Management · Quantitative Finance 2020-02-19 Pál András Papp , Roger Wattenhofer

We study vaccine budget-sharing strategies in the SIR (Susceptible-Infected-Recovered) model given a structured community network to investigate the benefit of sharing vaccine across communities. The network studied comprises two…

Physics and Society · Physics 2023-11-14 Felippe Alves , David Saad

Social distancing reduces infectious disease transmission by limiting contact frequency and proximity within a community. However, compliance varies due to its impact on daily life. This paper explores the effects of compliance on social…

Optimization and Control · Mathematics 2024-08-27 Hyelim Shin , Taesik Lee

Strategic network formation arises where agents receive benefit from connections to other agents, but also incur costs for forming links. We consider a new network formation game that incorporates an adversarial attack, as well as…

Computer Science and Game Theory · Computer Science 2016-11-10 Sanjeev Goyal , Shahin Jabbari , Michael Kearns , Sanjeev Khanna , Jamie Morgenstern

We investigate methods to vaccinate contact networks -- i.e. removing nodes in such a way that disease spreading is hindered as much as possible -- with respect to their cost-efficiency. Any real implementation of such protocols would come…

Populations and Evolution · Quantitative Biology 2017-11-01 Petter Holme , Nelly Litvak

Vaccination and outbreak monitoring are essential tools for preventing and minimizing outbreaks of infectious diseases. Targeted strategies, where the individuals most important for monitoring or preventing outbreaks are selected for…

Physics and Society · Physics 2016-03-04 Enys Mones , Arkadiusz Stopczynski , Alex Pentland , Nathaniel Hupert , Sune Lehmann

If we can lower the number of people needed to vaccinate for a community to be immune against contagious diseases, we can save resources and life. A key to reach such a lower threshold of immunization is to find and vaccinate people who,…

Populations and Evolution · Quantitative Biology 2012-10-10 Sungmin Lee , Luis E. C. Rocha , Fredrik Liljeros , Petter Holme

The instability of the financial system as experienced in recent years and in previous periods is often linked to credit defaults, i.e., to the failure of obligors to make promised payments. Given the large number of credit contracts, this…

Risk Management · Quantitative Finance 2015-06-17 Thilo A. Schmitt , Desislava Chetalova , Rudi Schäfer , Thomas Guhr

Voluntary vaccination is effective to prevent infectious diseases from spreading. Both vaccination behavior and cognition of the vaccination risk play important roles in individual vaccination decision making. However, it is not clear how…

Dynamical Systems · Mathematics 2022-09-21 Yuan Liu , Bin Wu

This work explores the characteristics of financial contagion in networks whose links distributions approaches a power law, using a model that defines banks balance sheets from information of network connectivity. By varying the parameters…

General Finance · Quantitative Finance 2014-10-10 Vanessa Hoffmann de Quadros , Juan Carlos González-Avella , José Roberto Iglesias

In this paper we introduce a generalized extension of the Eisenberg-Noe model of financial contagion to allow for time dynamics of the interbank liabilities, including a dynamic examination of default risk. This framework separates the cash…

Mathematical Finance · Quantitative Finance 2024-06-28 Tathagata Banerjee , Alex Bernstein , Zachary Feinstein

When a fraction of a population becomes immune to an infectious disease, the population-wide infection risk decreases nonlinearly due to collective protection, known as herd immunity. Some studies based on mean-field models suggest that…

Physics and Society · Physics 2025-09-03 Takayuki Hiraoka , Zahra Ghadiri , Abbas K. Rizi , Mikko Kivelä , Jari Saramäki

We introduce a 2-layer network model for the study of the immunization dynamics in epidemics. Spreading of an epidemic is modeled as an excitatory process in a small-world network (body layer) while immunization by prevention for the…

Disordered Systems and Neural Networks · Physics 2007-05-23 Hang-Hyun Jo , Hie-Tae Moon , Seung Ki Baek

We consider a network of bank holdings, where every holding has two subsidiaries of different types. A subsidiary can trade with another holding's subsidiary of the same type. Holdings support their subsidiaries up to a certain level when…

Risk Management · Quantitative Finance 2024-03-11 Maxim Bichuch , Nils Detering

We provide an overview of the relationship between financial networks and systemic risk. We present a taxonomy of different types of systemic risk, differentiating between direct externalities between financial organizations (e.g.,…

Risk Management · Quantitative Finance 2020-12-24 Matthew O. Jackson , Agathe Pernoud

Based on an empirical analysis of the network structure of the Austrian inter-bank market, we study the flow of funds through the banking network following exogenous shocks to the system. These shocks are implemented by stochastic changes…

Other Condensed Matter · Physics 2008-12-02 Michael Boss , Martin Summer , Stefan Thurner

By analysing the diffusive dynamics of epidemics and of distress in complex networks, we study the effect of the assortativity on the robustness of the networks. We first determine by spectral analysis the thresholds above which…

Physics and Society · Physics 2012-11-26 Gregorio D'Agostino , Antonio Scala , Vinko Zlatić , Guido Caldarelli

The aftermath of the Covid-19 pandemic saw more severe outcomes for racial minority groups and economically-deprived communities. Such disparities can be explained by several factors, including unequal access to healthcare, as well as the…

Computers and Society · Computer Science 2024-03-12 Nicola Neophytou , Afaf Taïk , Golnoosh Farnadi

Misinformation about vaccination poses a significant public health threat by reducing vaccination rates and increasing disease burden. Understanding population heterogeneity can aid in recognizing and mitigating the effects of such…

Physics and Society · Physics 2024-11-19 Komal Tanwar , Viney Kumar , Jai Prakash Tripathi
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