This paper builds a model of a regulation game, in which the active regulator moves first and designs the regulation requirement with the consideration of the network formed by banks and the associated systemic risk. Banks form the network strategically and diversify their portfolios within the...

This article explores the underlying structure of the intellectual research domains of the Italian community of banking and finance researchers. The goal of this study is to investigate research fronts and prominent topics and identify the links among these themes directly, based on the subject...

We study the 'interconnectedness' of stress-tested banks by exploiting how they are mentioned together in the context of financial news. We start by constructing weekly co-occurrence network matrices following Ronnqvist and Sarlin (2015) text-to-network approach. Using the COVID-19 pandemic as...

I study the systemic risks in financial networks under strategic attacks based on the framework of Elliott, Golub, and Jackson (2014). I obtain different results: Strategic attacks cause much larger cascades than random shocks do, and I identify the situations when financial networks are stable...

We compare networks constructed using five commonly used methods and publicly available daily market data to networks based on reported exposures along several dimensions of the balance sheet, i.e., loans, bonds, equity. Our findings suggest that while the global network structure remains...

Capturing financial network linkages and contagion in stress test models are important goals for banking supervisors and central banks responsible for micro- and macroprudential policy. However, granular data on financial networks is often lacking, and instead the networks must be reconstructed...

We compare networks constructed using five commonly used methods and publicly available daily market data to networks based on reported exposures along several dimensions of the balance sheet, i.e., loans, bonds, equity. Our findings suggest that while the global network structure remains...

This paper develops a simple demand model with network externalities which allow us to identify the shape of the network externalities function in the mobile telephone market and to estimate the critical mass. If the mobile telephone network exhibits positive network externalities, we expect...

This paper applies the theory of social networks to P2P systems, creating a social-network-based P2P network topology formation algorithm for file sharing. The algorithm extends the Gnutella P2P file sharing technology, which uses super nodes for searching and for relaying shared files between...

We explore the asymptotic properties of pairwise stables networks (Jackson and Wolinsky, 1996). Specifically, we want to recover a set of parameters from the individuals' utility functions using the observation of a single pairwise stable network. We develop Pseudo Maximum Likelihood estimator...