We provide a general framework for the study of cascade effects created by interconnections between sectors, firms or … suppliers propagates through the rest of the economy as their downstream sectors/firms also suffer and transmit the negative … shock to their downstream sectors/firms. We also link the probabilities of tail events (large negative deviations of …

We provide a general framework for the study of cascade effects created by interconnections between sectors, firms or … suppliers propagates through the rest of the economy as their downstream sectors/firms also suffer and transmit the negative … shock to their downstream sectors/firms. We also link the probabilities of tail events (large negative deviations of …

network flows in a communication network or of traffic in a transportation network. We show that increasing competition among …