Network Theory and Agent-Based Modeling in Economics and Finance

1. Front Matter

   Pages i-vi

   PDF

2. Complexity and Emergence: A New Paradigm for Economic Modeling

   • Anindya S. Chakrabarti, Lukáš Pichl, Taisei Kaizoji

   Pages 1-8

3. Interactive Models with Boundedly Rational Agents

   1. Front Matter

      Pages 9-9

      PDF

   2. Information Selection Efficiency in Networks: A Neurocognitive-Founded Agent-Based Model

      • Aymeric Vié

      Pages 11-34

   3. Diversification by Self-reinforcement of Preferences and Change of Interaction Type

      • Saori Iwanaga, Masao Kubo

      Pages 35-58

   4. Price Distortions and Public Information: Theory, Experiments, and Simulations

      • Alba Ruiz-Buforn, Simone Alfarano, Eva Camacho-Cuena

      Pages 59-85

   5. Order Book on Financial Networks

      • Alessio Emanuele Biondo

      Pages 87-110

   6. Detection of Factors Influencing Market Liquidity Using an Agent-Based Simulation

      • Isao Yagi, Yuji Masuda, Takanobu Mizuta

      Pages 111-131

   7. Macroscopic Properties in Economic System and Their Relations

      • Atushi Ishikawa, Shouji Fujimoto, Takayuki Mizuno

      Pages 133-157

   8. How Much Income Inequality is Fair? Nash Bargaining Solution and Its Connection to Entropy

      • Venkat Venkatasubramanian, Yu Luo

      Pages 159-174

   9. A Limit Cycle View of Inequality

      • Anindya S. Chakrabarti, Ratul Lahkar

      Pages 175-201

   10. Simulated Maximum Likelihood Estimation of Agent-Based Models in Economics and Finance

       • Jiri Kukacka

       Pages 203-226

   11. Emergent Urban Morphologies in an Agent-Based Model of Housing

       • Tsung-Wen Yen, Mikhail Filippov, Siew Ann Cheong

       Pages 227-246

   12. The Transferability of Human Capital, the Brain Drain and the Brain Gain

       • Akira Shimada

       Pages 247-263

   13. Is Life (or at Least Socioeconomic Aspects of It) Just Spin and Games?

       • Shakti N. Menon, V. Sasidevan, Sitabhra Sinha

       Pages 265-281

4. Financial and Economic Linkages

   1. Front Matter

      Pages 283-283

      PDF

   2. An Agent-Based Model of BCVA and Systemic Risk

      • D. Ladley, C. T. M. Tran

      Pages 285-300

   3. Additional Default Probability in Consideration of Firm’s Network

      • Takuya Kaneko, Masato Hisakado

      Pages 301-312

   4. Systemic Risk: Fire-Walling Financial Systems Using Network-Based Approaches

      • V. Sasidevan, Nils Bertschinger

      Pages 313-330

   5. Spectral and Network Method in Financial Time Series Analysis: A Study on Stock and Currency Market

      • Pradeep Bhadola, Nivedita Deo

      Pages 331-351

This book presents the latest findings on network theory and agent-based modeling of economic and financial phenomena. In this context, the economy is depicted as a complex system consisting of heterogeneous agents that interact through evolving networks; the aggregate behavior of the economy arises out of billions of small-scale interactions that take place via countless economic agents. The book focuses on analytical modeling, and on the econometric and statistical analysis of the properties emerging from microscopic interactions. In particular, it highlights the latest empirical and theoretical advances, helping readers understand economic and financial networks, as well as new work on modeling behavior using rich, agent-based frameworks. 


Innovatively, the book combines observational and theoretical insights in the form of networks and agent-based models, both of which have proved to be extremely valuable in understanding non-linear and evolving complex systems. Given its scope, the book will capture the interest of graduate students and researchers from various disciplines (e.g. economics, computer science, physics, and applied mathematics) whose work involves the domain of complexity theory.

• Network Theory
• Interacting Agents
• Agent-Based Modeling
• Evolutionary Dynamics
• Economic and Financial Networks
• Complex Adaptive Systems
• Engineering Economics

• Indian Institute of Management Ahmedabad, Ahmedabad, India

  Anindya S. Chakrabarti

• College of Liberal Arts, International Christian University, Tokyo, Japan

  Lukáš Pichl

• Division of Social Sciences, International Christian University, Mitaka, Japan

  Taisei Kaizoji

Anindya S. Chakrabarti, Indian Institute of Management Ahmedabad


Lukas Pichl, International Christian University


Taisei Kaizoji, International Christian University

Policies and ethics