Systemic Risk Analysis on Reconstructed Economic and Financial Networks.

ABSTRACT: We address a fundamental problem that is systematically encountered when modeling real-world complex systems of societal relevance: the limitedness of the information available. In the case of economic and financial networks, privacy issues severely limit the information that can be accessed and, as a consequence, the possibility of correctly estimating the resilience of these systems to events such as financial shocks, crises and cascade failures. Here we present an innovative method to reconstruct the structure of such partially-accessible systems, based on the knowledge of intrinsic node-specific properties and of the number of connections of only a limited subset of nodes. This information is used to calibrate an inference procedure based on fundamental concepts derived from statistica

SUBMITTER: Cimini G 

PROVIDER: S-EPMC4623768 | biostudies-literature | 2015 Oct

REPOSITORIES: biostudies-literature