Universal scaling behaviour in weighted trade networks

Identifying universal patterns in complex economic systems can reveal the dynamics and organizing principles underlying the process of system evolution. We investigate the scaling behaviours that have emerged in the international trade system by describing them as a series of evolving weighted trade networks. The maximum-flow spanning trees (constructed by maximizing the total weight of the edges) of these networks exhibit two universal scaling exponents: (1) topological scaling exponent η = 1.30 and (2) flow scaling exponent ζ = 1.03.     

Role models for complex networks

We present a framework for automatically decomposing (“block-modeling”) the functional classes of agents within a complex network. These classes are represented by the nodes of an image graph (“block model”) depicting the main patterns of connectivity and thus functional roles in the network. Using a first principles approach, we derive a measure for the fit of a network to any given image graph allowing objective hypothesis testing. From the properties of an optimal fit, we derive how to find the best fitting image graph directly from the network and present a criterion to avoid overfitting. The method can handle both two-mode and one-mode data, directed and undirected as well as weighted networks and allows for different types of links to be dealt with simultaneously. It is non-parametric and computationally efficient. The concepts of structural equivalence and modularity are found as special cases of our approach. We apply our method to the world trade network and analyze the roles individual countries play in the global economy.     

On the rich-club effect in dense and weighted networks

For many complex networks present in nature only a single instance, usually of large size, is available. Any measurement made on this single instance cannot be repeated on different realizations. In order to detect significant patterns in a real-world network it is therefore crucial to compare the measured results with a null model counterpart. Here we focus on dense and weighted networks, proposing a suitable null model and studying the behaviour of the degree correlations as measured by the rich-club coefficient. Our method solves an existing problem with the randomization of dense unweighted graphs, and at the same time represents a generalization of the rich-club coefficient to weighted networks which is complementary to other recently proposed ones.     

The effect of the topology on the spatial ultimatum game

In this work we present an analysis of a spatially non homogeneous ultimatum game. By considering different underlying topologies as substrates on top of which the game takes place we obtain nontrivial behaviors for the evolution of the strategies of the players. We analyze separately the effect of the size of the neighborhood and the spatial structure. Whereas this last effect is the most significant one, we show that even for disordered networks and provided the neighborhood of each site is small, the results can be significantly different from those obtained in the case of fully connected networks.     

Kinetic-growth self-avoiding walks on small-world networks

Kinetically-grown self-avoiding walks have been studied on Watts-Strogatz small-world networks, rewired from a two-dimensional square lattice. The maximum length L of this kind of walks is limited in regular lattices by an attrition effect, which gives finite values for its mean value 〈L 〉. For random networks, this mean attrition length 〈L 〉 scales as a power of the network size, and diverges in the thermodynamic limit (system size N ↦∞). For small-world networks, we find a behavior that interpolates between those corresponding to regular lattices and randon networks, for rewiring probability p ranging from 0 to 1. For p < 1, the mean self-intersection and attrition length of kinetically-grown walks are finite. For p = 1, 〈L 〉 grows with system size as N^1/2, diverging in the thermodynamic limit. In this limit and close to p = 1, the mean attrition length diverges as (1-p)^-4. Results of approximate probabilistic calculations agree well with those derived from numerical simulations.     

The grounds for time dependent market potentials from dealers’ dynamics

We apply the potential force estimation method to artificial time series of market price produced by a deterministic dealer model. We find that dealers’ feedback of linear prediction of market price based on the latest mean price changes plays the central role in the market’s potential force. When markets are dominated by dealers with positive feedback the resulting potential force is repulsive, while the effect of negative feedback enhances the attractive potential force.     

Boom and bust in continuous time evolving economic model

We show that a simple model of a spatially resolved evolving economic system, which has a steady state under simultaneous updating, shows stable oscillations in price when updated asynchronously. The oscillations arise from a gradual decline of the mean price due to competition among sellers competing for the same resource. This lowers profitability and hence population but is followed by a sharp rise as speculative sellers invade the large un-inhabited areas. This cycle then begins again.     

Finding community structures in complex networks using mixed integer optimisation

The detection of community structure has been used to reveal the relationships between individual objects and their groupings in networks. This paper presents a mathematical programming approach to identify the optimal community structures in complex networks based on the maximisation of a network modularity metric for partitioning a network into modules. The overall problem is formulated as a mixed integer quadratic programming (MIQP) model, which can then be solved to global optimality using standard optimisation software. The solution procedure is further enhanced by developing special symmetry-breaking constraints to eliminate equivalent solutions. It is shown that additional features such as minimum/maximum module size and balancing among modules can easily be incorporated in the model. The applicability of the proposed optimisation-based approach is demonstrated by four examples. Comparative results with other approaches from the literature show that the proposed methodology has superior performance while global optimum is guaranteed.     

Dynamics of opinion formation in hierarchical social networks: Network structure and initial bias

The dynamics of opinion formation based on a majority rule model is studied in a network with the social hierarchical structure as one of its limits. The exit probability is found to change sensitively with the number of nodes in the system, but not with the parameter of homophyly characterizing the network structure. The consensus time is found to be a result of non-trivial interplay between the network structure characterized by the parameter of homophyly and the initial bias in opinion. For unbiased initial opinion, a common consensus is easier to be reached in a random network than a highly structured hierarchical network and it follows the behavior of the length of shortest paths. For biased initial opinion, a common consensus is easier to be reached in a hierarchical network, as the local majority opinion of the groups may take on the biased opinions and hence be the same.     

Exact solutions for network rewiring models

Evolving networks with a constant number of edges may be modelled using a rewiring process. These models are used to describe many real-world processes including the evolution of cultural artifacts such as family names, the evolution of gene variations, and the popularity of strategies in simple econophysics models such as the minority game. The model is closely related to Urn models used for glasses, quantum gravity and wealth distributions. The full mean field equation for the degree distribution is found and its exact solution and generating solution are given.     

Firing activity of complex space-clamped FitzHugh-Nagumo neural networks

We investigate how firing activity of complex neural networks depends on the random long-range connections and coupling strength. Network elements are described by excitable space-clamped FitzHugh-Nagumo (SCFHN) neurons with the values of parameters at which no firing activity occurs. It is found that for a given appropriate coupling strength C, there exists a critical fraction of random connections (or randomness) p^*, such that if p > p^* the firing neurons, which are absent in the nearest-neighbor network, occur. The firing activity becomes more frequent as randomness p is further increased. On the other hand, when the p is smaller, there are no active neurons in network, no matter what the value of C is. For a given larger p, there exist optimal coupling strength levels, where firing activity reaches its maximum. To the best of our knowledge, this is a novel mechanism for the emergence of firing activity in neurons.     

Response of boolean networks to perturbations

We evaluate the probability that a Boolean network returns to an attractor after perturbing h nodes. We find that the return probability as function of h can display a variety of different behaviours, which yields insights into the state-space structure. In addition to performing computer simulations, we derive analytical results for several types of Boolean networks, in particular for Random Boolean Networks. We also apply our method to networks that have been evolved for robustness to small perturbations, and to a biological example.     

Rank-based model for weighted network with hierarchical organization and disassortative mixing

In this paper, we study a rank-based model for weighted network. The evolution rule of the network is based on the ranking of node strength, which couples the topological growth and the weight dynamics. Analytically and by simulations, we demonstrate that the generated networks recover the scale-free distributions of degree and strength in the whole region of the growth dynamics parameter (α>0). Moreover, this network evolution mechanism can also produce scale-free property of weight, which adds deeper comprehension of the networks growth in the presence of incomplete information. We also characterize the clustering and correlation properties of this class of networks. It is showed that at α=1 a structural phase transition occurs, and for α>1 the generated network simultaneously exhibits hierarchical organization and disassortative degree correlation, which is consistent with a wide range of biological networks.     

Characterization of complex networks by higher order neighborhood properties

A concept of higher order neighborhood in complex networks, introduced previously [Phys. Rev. E 73, 046101 (2006)], is systematically explored to investigate larger scale structures in complex networks. The basic idea is to consider each higher order neighborhood as a network in itself, represented by a corresponding adjacency matrix, and to settle a plenty of new parameters in order to obtain a best characterization of the whole network. Usual network indices are then used to evaluate the properties of each neighborhood. The identification of high order neighborhoods is also regarded as intermediary step towards the evaluation of global network properties, like the diameter, average shortest path between node, and network fractal dimension. Results for a large number of typical networks are presented and discussed.     

Limited resolution in complex network community detection with Potts model approach

According to Fortunato and Barthélemy, modularity-based community detection algorithms have a resolution threshold such that small communities in a large network are invisible. Here we generalize their work and show that the q-state Potts community detection method introduced by Reichardt and Bornholdt also has a resolution threshold. The model contains a parameter by which this threshold can be tuned, but no a priori principle is known to select the proper value. Single global optimization criteria do not seem capable for detecting all communities if their size distribution is broad.     

Epidemic threshold and phase transition in scale-free networks with asymmetric infection

We study the SIS epidemic dynamics on scale-freeweighted networks with asymmetric infection, by both analysis andnumerical simulations, with focus on the epidemic threshold aswell as critical behaviors. It is demonstrated that the asymmetryof infection plays an important role: we could redistribute theasymmetry to balance the degree heterogeneity of the network andthen to restore the epidemic threshold to a fnite value. On theother hand, we show that the absence of the epidemic threshold isnot so bad as commented previously since the prevalence grows veryslowly in this case and one could only protect a few vertices toprevent the diseases propagation.     

Topological properties of phylogenetic trees in evolutionary models

The extent to which evolutionary processes affect the shape of phylogenetic trees is an important open question. Analyses of small trees seem to detect non-trivial asymmetries which are usually ascribed to the presence of correlations in speciation rates. Many models used to construct phylogenetic trees have an algorithmic nature and are rarely biologically grounded. In this article, we analyze the topological properties of phylogenetic trees generated by different evolutionary models (populations of RNA sequences and a simple model with inheritance and mutation) and compare them with the trees produced by known uncorrelated models as the backward coalescent, paying special attention to large trees. Our results demonstrate that evolutionary parameters as mutation rate or selection pressure have a weak influence on the scaling behavior of the trees, while the size of phylogenies strongly affects measured scaling exponents. Within statistical errors, the topological properties of phylogenies generated by evolutionary models are compatible with those measured in balanced, uncorrelated trees.     

Large-scale structure of time evolving citation networks

In this paper we examine a number of methods for probing and understanding the large-scale structure of networks that evolve over time. We focus in particular on citation networks, networks of references between documents such as papers, patents, or court cases. We describe three different methods of analysis, one based on an expectation-maximization algorithm, one based on modularity optimization, and one based on eigenvector centrality. Using the network of citations between opinions of the United States Supreme Court as an example, we demonstrate how each of these methods can reveal significant structural divisions in the network and how, ultimately, the combination of all three can help us develop a coherent overall picture of the network's shape.     

Self-organizing Ising model of financial markets

We study a dynamical Ising-like model of agents' opinions (buy or sell) with learning, in which the coupling coefficients are re-assessed continuously in time according to how past external news (time-varying magnetic field) have explained realized market returns. By combining herding, the impact of external news and private information, we find that the stylized facts of financial markets are reproduced only when agents misattribute the success of news to predict return to herding effects, thereby providing positive feedbacks leading to the model functioning close to the Ising critical point.     

Connectivity of growing networks with link constraints

We propose a growing network model with link constraint, in which new nodes are continuously introduced into the system and immediately connected to preexisting nodes, and any arbitrary node cannot receive new links when it reaches a maximum number of links k_m. The connectivity of the network model is then investigated by means of the rate equation approach. For the connection kernel A(k)=k^γ, the degree distribution n_k takes a power law if γ≥1 and decays stretched exponentially if 0≤γ< 1. We also consider a network system with the connection kernel A(k)=k^α(k_m-k)^β. It is found that n_k approaches a power law in the α> 1 case and has a stretched exponential decay in the 0≤α< 1 case, while it can take a power law with exponential truncation in the special α=β=1 case. Moreover, n_k may have a U-type structure if α> β.