more stable than random networks. Systemic risk via contagion is compared to common shocks and it is shown that both forms …

networks to show how contagion can propagate under different scenarios when the topology of the financial system, the … simple model of contagion as the one that has been popularized by Gai and Kapadia (2010). Then, we provide a richer model in …

We propose an algorithm to model contagion in the interbank market via what we term the credit quality channel. In … existing models on contagion via interbank credit, external shocks to banks often spread to other banks only in case of a … questions. For that purpose, we propose to measure the potential cost of contagion of a given shock scenario by the aggregated …

influence of the network topology on contagion in financial networks. This paper therefore compares contagion in Barabási … deposits. Contagion effects from the default of a large bank are studied in different network topologies. The results indicate … that contagion is more severe in random and scale-free networks than in small-world networks. This situation changes when …

related payment and settlement systems. At the heart of systemic risk are contagion effects, various forms of external effects … rigorous models of bank and payment system contagion have now been developed, although a general theoretical paradigm is still … missing. Direct econometric tests of bank contagion effects seem to be mainly limited to the United States. Empirical studies …

payment system designs. We assess the exposures and the contagion by a counterfactual analysis assuming that payments …