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This paper argues that in the presence of intersectoral input-output linkages, microeconomic idiosyncratic shocks may lead to aggregate fluctuations. In particular, it shows that, as the economy becomes more disaggregated, the rate at which aggregate volatility decays is determined by the...
Persistent link: https://www.econbiz.de/10009489113
This paper argues that, in the presence of intersectoral input–output linkages, microeconomic idiosyncratic shocks may lead to aggregate fluctuations. We show that, as the economy becomes more disaggregated, the rate at which aggregate volatility decays is determined by the structure of the...
Persistent link: https://www.econbiz.de/10014042387
Supply chain disturbances can lead to substantial increases in production costs. To mitigate these risks, firms may take steps to reduce their reliance on volatile suppliers. We construct a model of endogenous network formation to investigate how these decisions affect the structure of the...
Persistent link: https://www.econbiz.de/10013324402
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between the elements of a system and clusters (innovation clusters) and the selfrationale of a system and that of networks … composed of "elements", which are tied together by a "self-rationale". For innovation, often innovation clusters and innovation … networks are being regarded as important. By leveraging systems theory for innovation concepts, one can implement references …
Persistent link: https://www.econbiz.de/10011458576
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