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Related papers: Reciprocity in Interbank Markets

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We construct a network of 1.6 million nodes from banking transactions of users of Rabobank. We assign two weights on each edge, which are the aggregate transferred amount and the total number of transactions between the users from the year…

Social and Information Networks · Computer Science 2021-09-23 Akrati Saxena , Yulong Pei , Jan Veldsink , Werner van Ipenburg , George Fletcher , Mykola Pechenizkiy

People often interact repeatedly: with relatives, through file sharing, in politics, etc. Many such interactions are reciprocal: reacting to the actions of the other. In order to facilitate decisions regarding reciprocal interactions, we…

Computer Science and Game Theory · Computer Science 2016-03-01 Gleb Polevoy , Mathijs de Weerdt , Catholijn Jonker

It has been recently reported that the reciprocity of real-life weighted networks is very pronounced, however its impact on dynamical processes is poorly understood. In this paper, we study random walks in a scale-free directed weighted…

Social and Information Networks · Computer Science 2017-03-28 Zhongzhi Zhang , Huan Li , Yibin Sheng

Agents are represented by nodes on a random graph (e.g., small world or truncated power law). Each agent is endowed with a zero-mean random value that may be either positive or negative. All agents attempt to find relief, i.e., to reduce…

Data Analysis, Statistics and Probability · Physics 2007-06-13 Randall A. LaViolette , Lory A. Ellebracht , Charles J. Gieseler

Reciprocal arcs represent the lowest order cycle possible to find in directed graphs without self-loops. Representing also a measure of feed-back between vertices, it is interesting to understand how reciprocal arcs influence other…

Statistical Mechanics · Physics 2011-05-23 Vinko Zlatić , Hrvoje Štefančić

Reciprocity in social networks helps understand information exchange between two individuals, and indicates interaction patterns between pairs of users. A recent study indicates the reciprocity coefficient of a classical directed…

Physics and Society · Physics 2022-01-12 Daniel Cirkovic , Tiandong Wang , Sidney Resnick

A new modelling approach for the analysis of weighted networks with ordinal/polytomous dyadic values is introduced. Specifically, it is proposed to model the weighted network connectivity structure using a hierarchical multilayer…

Methodology · Statistics 2019-08-05 Alberto Caimo , Isabella Gollini

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…

Disordered Systems and Neural Networks · Physics 2009-11-07 Giulia Iori , Saqib Jafarey

Most of the analyses concerning signed networks have focused on the balance theory, hence identifying frustration with undirected, triadic motifs having an odd number of negative edges; much less attention has been paid to their directed…

Physics and Society · Physics 2025-04-07 Anna Gallo , Fabio Saracco , Renaud Lambiotte , Diego Garlaschelli , Tiziano Squartini

Tools of the theory of critical phenomena, namely the scaling analysis and universality, are argued to be applicable to large complex web-like network structures. Using a detailed analysis of the real data of the International Trade Network…

General Finance · Quantitative Finance 2009-11-13 K. Bhattacharya , G. Mukherjee , J. Saramaki , K. Kaski , S. S. Manna

Banks in the interbank network can not assess the true risks associated with lending to other banks in the network, unless they have full information on the riskiness of all the other banks. These risks can be estimated by using network…

Risk Management · Quantitative Finance 2013-01-28 Stefan Thurner , Sebastian Poledna

We use the theory of complex networks in order to quantitatively characterize the formation of communities in a particular financial market. The system is composed by different banks exchanging on a daily basis loans and debts of liquidity.…

Physics and Society · Physics 2009-11-13 G. De Masi , G. Iori , G. Caldarelli

Reciprocity, or the stochastic tendency for actors to form mutual relationships, is an essential characteristic of directed network data. Existing latent space approaches to modeling directed networks are severely limited by the assumption…

Methodology · Statistics 2024-11-28 Joshua Daniel Loyal , Xiangyu Wu , Jonathan R. Stewart

The prediction of both the existence and weight of network links at future time points is essential as complex networks evolve over time. Traditional methods, such as vector autoregression and factor models, have been applied to small,…

General Economics · Economics 2024-10-15 Shu Takahashi , Kento Yamamoto , Shumpei Kobayashi , Ryoma Kondo , Ryohei Hisano

Upstream reciprocity (also called generalized reciprocity) is a putative mechanism for cooperation in social dilemma situations with which players help others when they are helped by somebody else. It is a type of indirect reciprocity.…

Physics and Society · Physics 2011-10-11 Naoki Masuda

We employ the mathematical programming approach in conjunction with the graph theory to study the structure of correspondent banking networks. Optimizing the network requires decisions to be made to onboard, terminate or restrict the bank…

Machine Learning · Computer Science 2019-12-09 Nima Safaei , Ivan A. Sergienko

We develop a network reconstruction model based on entropy maximization considering the sparsity of networks. We reconstruct the interbank network in Japan from financial data in individual banks' balance sheets using the developed…

General Economics · Economics 2021-07-09 Yuichi Ikeda , Hidetoshi Takeda

We exploit the symmetry concepts developed in the companion review of this article to introduce a stochastic version of link reversal symmetry, which leads to an improved understanding of the reciprocity of directed networks. We apply our…

General Finance · Quantitative Finance 2010-11-04 Franco Ruzzenenti , Diego Garlaschelli , Riccardo Basosi

We study the international interbank market through a geometrical and a topological analysis of empirical data. The geometrical analysis of the time series of cross-country liabilities shows that the systematic information of the interbank…

Computational Finance · Quantitative Finance 2012-05-28 Alessandro Spelta , Tanya Araújo

Real-world multi-layer networks feature nontrivial dependencies among links of different layers. Here we argue that, if links are directed, dependencies are twofold. Besides the ordinary tendency of links of different layers to align as the…