Related papers: Risk Dynamics in Trade Networks
Financial markets are exposed to systemic risk (SR), the risk that a major fraction of the system ceases to function, and collapses. It has recently become possible to quantify SR in terms of underlying financial networks where nodes…
International trade research plays an important role to inform trade policy and shed light on wider issues relating to poverty, development, migration, productivity, and economy. With recent advances in information technology, global and…
From autonomous driving to package delivery, ensuring safe yet efficient multi-agent interaction is challenging as the interaction dynamics are influenced by hard-to-model factors such as social norms and contextual cues. Understanding…
We present an agent-based model of microscopic wealth exchange in a dynamic network to study the topological features associated with economic inequality. The model evolves through two alternating processes, the conservative exchange of…
This paper reviews some of the phenomenological models which have been introduced to incorporate the scaling properties of financial data. It also illustrates a microscopic model, based on heterogeneous interacting agents, which provides a…
This paper studies a class of consensus dynamics where the interactions between agents are affected by a time-varying unknown scaling factor. This situation is encountered in the control of robotic fleets over a wireless network or in…
We propose a macroscopic traffic network flow model suitable for analysis as a dynamical system, and we qualitatively analyze equilibrium flows as well as convergence. Flows at a junction are determined by downstream supply of capacity as…
In this paper, we propose a distributed scheme for estimating the network size, which refers to the total number of agents in a network. By leveraging a synchronization technique for multi-agent systems, we devise an agent dynamics that…
There are multiple explanations for stylized facts in high-frequency trading, including adaptive and informed agents, many of which have been studied through agent-based models. This paper investigates an alternative explanation by…
This work proposes action networks as a semantically well-founded framework for reasoning about actions and change under uncertainty. Action networks add two primitives to probabilistic causal networks: controllable variables and persistent…
Financial market is an example of complex system, which is characterized by a highly intricate organization and the emergence of collective behavior. In this paper, we quantify this emergent dynamics in the financial market by using…
This paper focuses on modeling the dynamic attributes of a dynamic network with a fixed number of vertices. These attributes are considered as time series which dependency structure is influenced by the underlying network. They are modeled…
In social dilemmas, most interactions are transient and susceptible to restructuring, leading to continuous changes in social networks over time. Typically, agents assess the rewards of their current interactions and adjust their…
An agent-based model for firms' dynamics is developed. The model consists of firm agents with identical characteristic parameters and a bank agent. Dynamics of those agents is described by their balance sheets. Each firm tries to maximize…
Many models of market dynamics make use of the idea of conservative wealth exchanges among economic agents. A few years ago an exchange model using extremal dynamics was developed and a very interesting result was obtained: a self-generated…
We introduce a model-free approach for analyzing the risk and return for a broad class of dynamic trading strategies, including pairs trading, mean-reversion trading and other statistical arbitrage strategies, in terms of excursions of a…
Achieving the United Nations Sustainable Development Goals (SDGs) requires an understanding of the complex interlinkages that exist among their underlying indicators. While most existing research examines these interconnections at the goal…
The dynamics of systems of interacting agents is determined by the structure of their coupling network. The knowledge of the latter is, therefore, highly desirable, for instance, to develop efficient control schemes, to accurately predict…
In this paper we develop a methodology to analyze and compare multiple global networks. We focus our analysis on the relation between human migration and trade. First, we identify the subset of products for which the presence of a community…
This paper develops a strategic model of trade between two regions in which, depending on the relation among output, financial resources and transportation costs, the adjustment of prices towards an equilibrium is studied. We derive…