relation: http://eprints.imtlucca.it/2822/
title: Economic Networks In and Out of Equilibrium
creator: Squartini, Tiziano
creator: Garlaschelli, Diego
subject: HB Economic Theory
subject: QA Mathematics
description: Economic and financial networks play a crucial role in various important processes, including economic integration, globalization, and financial crises. Of particular interest is understanding whether the temporal evolution of a real economic network is in a (quasi-)stationary equilibrium, i.e. characterized by smooth structural changes rather than abrupt transitions. Smooth changes in quasi-equilibrium networks can be generally controlled for, and largely predicted, while this is generally not possible for abrupt transitions in non-stationary networks. Here we study whether real economic networks are in or out of equilibrium by checking their consistency with quasi-equilibrium maximum-entropy ensembles of graphs. As illustrative examples, we consider the International Trade Network (ITN) and the Dutch Interbank Network (DIN). We show that, despite the globalization process, the ITN is an almost perfect example of quasi-equilibrium network, while the DIN is clearly an out-of-equilibrium network undergoing major structural changes and displaying non-stationary dynamics. Among the out-of-equilibrium properties of the DIN, we find striking early-warning signals of the interbank crisis of 2008.
publisher: IEEE
date: 2013-12
type: Conference or Workshop Item
type: PeerReviewed
format: application/pdf
language: en
rights: cc_by_nc
identifier: http://eprints.imtlucca.it/2822/1/1309.1875v2.pdf
identifier:   Squartini, Tiziano and Garlaschelli, Diego  Economic Networks In and Out of Equilibrium.  In: International Conference on Signal-Image Technology Internet-Based Systems (SITIS), 2013, 2-5 December, 2013, Kyoto pp. 530-537.        (2013)  
relation: http://ieeexplore.ieee.org/xpl/articleDetails.jsp?arnumber=6727239
relation: 10.1109/SITIS.2013.89