Abstract
The presentation will review the application of networks to analyse the transmission of risks in the financial system. Two papers will be discussed, the first focusing on the macro impact and the second on the micro level. The first features the application of an agent-based model to analyse how contagion spreads within a network of interconnected banks. The aim of this approach is to quantify the relative importance of direct and indirect transmission channels, a distinction which is important for the design of macroprudential policy. The second utilises the concept of temporal networks to analyse the dynamics of empirically constructed networks and aims to characterise individual financial institutions (i.e., network nodes), e.g., identify systemically important institutions or sectors that are sources of vulnerability or identify which nodes are sources, transmitters or receivers of financial stress. Emphasis will be placed on the interdisciplinary dimension, specifically how the above methods are related to those developed in other fields.
Collegamento Microsoft Teams
Organizzazione
Matteo Farnè