Physics – Physics and Society
Scientific paper
2006-10-16
Physics
Physics and Society
5 pages 5 figures
Scientific paper
10.1103/PhysRevE.74.066112
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. Through topological analysis and by means of a model of network growth we can determine the formation of different group of banks characterized by different business strategy. The model based on Pareto's Law makes no use of growth or preferential attachment and it reproduces correctly all the various statistical properties of the system. We believe that this network modeling of the market could be an efficient way to evaluate the impact of different policies in the market of liquidity.
Caldarelli Guido
Iori Giulia
Masi Giulia de
No associations
LandOfFree
A fitness model for the Italian Interbank Money Market does not yet have a rating. At this time, there are no reviews or comments for this scientific paper.
If you have personal experience with A fitness model for the Italian Interbank Money Market, we encourage you to share that experience with our LandOfFree.com community. Your opinion is very important and A fitness model for the Italian Interbank Money Market will most certainly appreciate the feedback.
Profile ID: LFWR-SCP-O-245040