Input-Output-Based Measures of Systemic Importance

Aldasoro, Iñaki; Angeloni, Ignazio

doi:10.2139/ssrn.2317299

Cited by 7 publications

(8 citation statements)

References 65 publications

(40 reference statements)

Supporting

Mentioning

Contrasting

Order By: Relevance

“…We anticipated that countries with a higher number of trade partners in early years would increase trade partnerships more rapidly than countries starting with fewer trade partners, a case of positive feedback, in alignment with preferential attachment of nodes in networks (Newman 2001, Lü andZhou 2011). A regression approach (e.g., Aknin et al 2012) can be used to assess the existence of positive or negative feedbacks, and to test hypotheses regarding drivers. To examine feedbacks due to trade partnerships over time, we plotted the number of trade partners over time for each country that exported or imported soybean at least four times during the study period.…”

Section: Q: Have Past Trade Partnerships Had a Positive Feedback On Fmentioning

confidence: 99%

“…Previous work has typically focused on the human domain (Iapadre andTajoli 2014, del Río-Chanona et al 2017), including social relationships (Fletcher et al 2011, Mikusiński et al 2013, De Benedictis et al 2014, international finance (Contreras and Fagiolo 2014) and economic development (Shutters and Muneepeerakul 2012), commodity supply chains (Acemoglu et al 2012, Mastrandrea et al 2014, Possamai et al 2015, Shen et al 2015, Cai and Song 2016, transnational land acquisitions (Seaquist et al 2014), virtual water trade (Dalin et al 2011), transportation networks (Carvalho et al 2012), human migration (Davis et al 2013), and the spread of toxins (Bui-Klimke et al 2014) and diseases (Lentz et al 2016). Studies of commodity trading have extensively employed network analysis methods including input-output analysis (e.g., Roy and Hewings 2009, Acemoglu et al 2012, Aldasoro and Angeloni 2013, Contreras and Fagiolo 2014, open flow networks (e.g., Shen et al 2015), and the use of null network models (e.g., Mastrandrea et al 2014). Network analysis also shows promise for investigating social-ecological associations (e.g., Bodin and Crona 2009, Rathwell and Peterson 2012, Schiller et al 2014.…”

Section: Introductionmentioning

confidence: 99%

See 1 more Smart Citation

Network analysis as a tool for quantifying the dynamics of metacoupled systems: an example using global soybean trade

Schaffer‐Smith¹,

Tomscha²,

Jarvis³

et al. 2018

E&S

View full text Add to dashboard Cite

2018. Network analysis as a tool for quantifying the dynamics of metacoupled systems: an example using global soybean trade. Ecology and Society 23(4):3. https://doi. ABSTRACT. The metacoupling framework provides grounds for characterizing interactions within and between coupled human and natural systems, yet few studies quantify the nuances of these systems. Network analysis is a powerful and flexible tool that has been used to quantify social, economic, and ecological systems. Our objective was to evaluate the utility of network analysis for quantifying metacoupled systems by assessing global soybean trade among 217 countries from 1986 to 2013. We identified and quantified sending and receiving systems, subnetworks and flow pathways, changes over time and across scales, feedbacks, and associations between trade and tropical deforestation. Although a total of 165 distinct cliques were identified within the network, a few key players were disproportionately influential in the 2872 partnerships, including Brazil (37.5%), China (48.6%), and the USA (72.3%). Total network density increased five-fold over the study period with an increasingly smaller set of countries heavily engaged in trade, posing sustainability and food security concerns. We found evidence of a positive feedback where countries with established trade partnerships were more likely to expand trade relationships over the study period. Trade patterns were not explained by regional or continental geography, highlighting limitations of neighborhood analyses commonly used in ecology. We also found evidence of a link between soybean trade and tropical deforestation; in pantropical countries participating in soybean trade, cumulative soybean exports for the period 2000-2012 were strongly associated with remotely sensed estimates of forest loss by country (Rsq = 0.35 , p < 0.0001). We demonstrated that network analyses can be used to quantitatively assess relationships between metacoupled social-ecological systems. Increased data access and platforms for integrating diverse data sources using multidisciplinary tools will be key to pushing the boundaries of quantitative metacoupled systems research.Erratum: The figure captions in the original publication of this paper were incorrect and were replaced with the proper captions on 7 February 2019.Ecology and Society 23(4): 3 https://www.ecologyandsociety.org/vol23/iss4/art3/

show abstract

Section: Q: Have Past Trade Partnerships Had a Positive Feedback On Fmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Network analysis as a tool for quantifying the dynamics of metacoupled systems: an example using global soybean trade

Schaffer‐Smith¹,

Tomscha²,

Jarvis³

et al. 2018

E&S

View full text Add to dashboard Cite

show abstract

“…51 Langfield and Soramäki (2014) provide an in-depth overview of the network literature on identifying systemically important banks. Measures to identify critical institutions include 'DebtRank' (Battiston et al, 2012c), SinkRank (Soramäki and Cook, 2013) or measures based on input-output analysis for singlelayer (Aldasoro and Angeloni, 2015) and multilayer networks (Aldasoro and Alves, 2015). A general overview of systemic risk measures is provided by Bisias et al (2012).…”

Section: Identifying Critical Institutionsmentioning

confidence: 99%

Too Interconnected to Fail: A Survey of the Interbank Networks Literature

Hüser

2015

SSRN Journal

View full text Add to dashboard Cite

The banking system is highly interconnected and these connections can be conveniently represented as an interbank network. This survey presents a systematic overview of the recent advances in the theoretical literature on interbank networks and assesses our current understanding of the structure of interbank networks, of how network characteristics affect contagion in the banking system and of how banks form connections when faced with the possibility of contagion and systemic risk. In particular, I highlight how the theoretical literature on interbank networks offers a coherent way of studying interconnections, contagion processes and systemic risk, while emphasizing at the same time the challenges that must be addressed before general results on the link between the structure of the interbank network and financial stability can be established. The survey concludes with a discussion of the policy relevance of interbank network models with a special focus on macro-prudential policies and monetary policy.

show abstract

“…However, the implicit definition of forward linkages -the output from the sector required to support the rest of the economy, and the indirect contribution of that output back to the rest of the economy -reflects downstream demand rather than upstream supply. The Ghosh input-output system (Ghosh, 1958) provides a better measure of forward linkages for the purposes of this paper (Jones, 1976;Antràs et al, 2012;Aldasoro and Angeloni, 2015). The Ghosh model defines a matrix B =x −1 Z of allocation coefficients rather than a matrix A of technical coefficients.…”

Section: Forward Linkagesmentioning

confidence: 99%

“…In contrast, "backward linkages" will, through demand for inputs, "induce attempts to supply through domestic production the inputs needed in that activity". Sectors that display high forward linkages thus identify activities and products that sustain the rest of the economic structure via the provisioning of inputs that are essential to other productive sectors (Aldasoro and Angeloni, 2015;Antràs et al, 2012).…”

Section: Introductionmentioning

confidence: 99%