Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/203218 
Year of Publication: 
2018
Series/Report no.: 
IES Working Paper No. 39/2018
Publisher: 
Charles University in Prague, Institute of Economic Studies (IES), Prague
Abstract: 
This paper investigates systemic risk and contagion processes in the inter-bank network using network science methods. The inter-bank network consisting 10 banks, similar to the real world inter-bank networks, is studied to understand the contagion process in the network regarding changes in the network structure, as well as changes in the characteristics of components. Simulations support the claim that heterogeneous networks are more resilient to contagious shocks, while systemic shocks are more problematic in homogeneous networks. The study also shows that more interconnections among banks could accelerate or block contagion proces depending on the structure of the network and seniority of debts in the inter-bank network as well.
Subjects: 
Complex Networks
Systemic Risk
Contagion
Default Risk
Epidemic Modeling
JEL: 
G01
G21
Document Type: 
Working Paper

Files in This Item:
File
Size
849.49 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.