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Uncovering the risk transmitting path within economic sectors in China is crucial for understanding the stability of the Chinese economic system, especially under the current situation of the China-US trade conflicts. In this paper, we try…

Risk Management · Quantitative Finance 2020-02-24 Ying-Ying Shen , Zhi-Qiang Jiang , Jun-Chao Ma , Gang-Jin Wang , Wei-Xing Zhou

Only a fast and global transformation towards decarbonization and sustainability can keep the Earth in a civilization-friendly state. As hotspots for (green) innovation and experimentation, cities could play an important role in this…

Physics and Society · Physics 2022-04-12 Niklas H. Kitzmann , Pawel Romanczuk , Jonathan F. Donges

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…

Physics and Society · Physics 2020-11-16 Qihui Yang , Caterina Scoglio , Don Gruenbacher

We use methods from network science to analyze corruption risk in a large administrative dataset of over 4 million public procurement contracts from European Union member states covering the years 2008-2016. By mapping procurement markets…

General Finance · Quantitative Finance 2019-09-20 Johannes Wachs , Mihály Fazekas , János Kertész

We present data on debt accumulation in Australia and the United States, and tentative data on Romania, to pose the question of whether Romania might experience a credit crunch as a result of the US subprime financial crisis. We develop a…

Physics and Society · Physics 2008-04-16 Carmen Costea , Steve Keen

Value chain data is crucial to navigate economic disruptions, such as those caused by the COVID-19 pandemic and the war in Ukraine. Yet, despite its importance, publicly available value chain datasets, such as the ``World Input-Output…

General Economics · Economics 2023-08-08 Lea Karbevska , César A. Hidalgo

We study corruption as a generalized epidemic process on the graph of social relationships. The main difference to classical epidemic processes is the strong nonlinear dependence of the transmission probability on the local density of…

Physics and Society · Physics 2007-05-23 Ph. Blanchard , A. Krueger , T. Krueger , P. Martin

Much of the analysis of economic growth has focused on the study of aggregate output. Here, we deviate from this tradition and look instead at the structure of output embodied in the network connecting countries to the products that they…

General Finance · Quantitative Finance 2012-03-02 Ricardo Hausmann , Cesar A. Hidalgo

Jointly modeling and forecasting economic and financial variables across a large set of countries has long been a significant challenge. Two primary approaches have been utilized to address this issue: the vector autoregressive model with…

Machine Learning · Statistics 2025-03-12 Sanyou Wu , Dan Yang , Yan Xu , Long Feng

Using the United Nations Comtrade database, we perform the Google matrix analysis of the multiproduct World Trade Network (WTN) for the years 2018-2020 comprising the emergence of the COVID-19 as a global pandemic. The applied algorithms --…

Statistical Finance · Quantitative Finance 2022-03-03 Célestin Coquidé , José Lages , Leonardo Ermann , Dima L. Shepelyansky

Cross-border equity and long-term debt securities portfolio investment networks are analysed from 2002 to 2012, covering the 2008 global financial crisis. They serve as network-proxies for measuring the robustness of the global financial…

General Finance · Quantitative Finance 2014-03-05 Andreas Joseph , Stephan Joseph , Guanrong Chen

During a financial crisis, the capital markets network frequently exhibits a high correlation between returns. We developed a network analysis framework based on daily returns from 42 countries to determine systemic stability. Our network…

Dynamical Systems · Mathematics 2022-01-06 Supanat Kamtue , Pongsak Luangaram , Sirawit Woramongkhon

Risks threatening modern societies form an intricately interconnected network that often underlies crisis situations. Yet, little is known about how risk materializations in distinct domains influence each other. Here we present an approach…

Computers and Society · Computer Science 2016-05-03 Boleslaw K. Szymanski , Xin Lin , Andrea Asztalos , Sameet Sreenivasan

We consider a general tractable model for default contagion and systemic risk in a heterogeneous financial network, subject to an exogenous macroeconomic shock. We show that, under some regularity assumptions, the default cascade model…

Risk Management · Quantitative Finance 2021-04-02 Hamed Amini , Zhongyuan Cao , Agnes Sulem

We consider a model of contagion in financial networks recently introduced in the literature, and we characterize the effect of a few features empirically observed in real networks on the stability of the system. Notably, we consider the…

General Finance · Quantitative Finance 2011-09-07 Fabio Caccioli , Thomas A. Catanach , J. Doyne Farmer

A financial system contains many elements networked by their relationships. Extensive works show that topological structure of the network stores rich information on evolutionary behaviors of the system such as early warning signals of…

Statistical Finance · Quantitative Finance 2018-05-09 Li Zhou , Lu Qiu , Changgui Gu , Huijie Yang

We address the joint detection-and-attribution problem in cross-border financial contagion through a two-stage framework. The first stage applies wavelet-quantile transfer entropy across time-scales and lower, median, and upper-tail…

General Economics · Economics 2026-04-30 Avishek Bhandari , Ipsita Parida , Hitesh Kumar Sahu

In this paper we estimate the propagation of liquidity shocks through interbank markets when the information about the underlying credit network is incomplete. We show that techniques such as Maximum Entropy currently used to reconstruct…

Risk Management · Quantitative Finance 2013-10-08 Iacopo Mastromatteo , Elia Zarinelli , Matteo Marsili

Global food security depends on tightly coupled international supply chains including natural gas, mineral fertilizers, and staple crops. Earlier research has examined potential consequences of disruptions in each of these domains…

Physics and Society · Physics 2026-05-08 Pavel Kiparisov , Christian Folberth

Assessing the stability of economic systems is a fundamental research focus in economics, that has become increasingly interdisciplinary in the currently troubled economic situation. In particular, much attention has been devoted to the…

Risk Management · Quantitative Finance 2017-02-24 Matteo Serri , Guido Caldarelli , Giulio Cimini