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.     

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.     

Clusters in weighted macroeconomic networks: the EU case. Introducing the overlapping index of GDP/capita fluctuation correlations

GDP/capita correlations are investigated in various time windows (TW), for the time interval 1990–2005. The target group of countries is the set of 25 EU members, 15 till 2004 plus the 10 countries which joined EU later on. The TW-means of the statistical correlation coefficients are taken as the weights (links) of a fully connected network having the countries as nodes. Thereafter we define and introduce the overlapping index of weighted network nodes. A cluster structure of EU countries is derived from the statistically relevant eigenvalues and eigenvectors of the adjacency matrix. This may be considered to yield some information about the structure, stability and evolution of the EU country clusters in a macroeconomic sense.     

Growing distributed networks with arbitrary degree distributions

We consider distributed networks, such as peer-to-peer networks, whose structure can be manipulated by adjusting the rules by which vertices enter and leave the network. We focus in particular on degree distributions and show that, with some mild constraints, it is possible by a suitable choice of rules to arrange for the network to have any degree distribution we desire. We also describe a mechanism based on biased random walks by which appropriate rules could be implemented in practice. As an example application, we describe and simulate the construction of a peer-to-peer network optimized to minimize search times and bandwidth requirements.     

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.     

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.     

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.     

Mapping dynamical systems onto complex networks

The objective of this study is to design a procedure to characterize chaotic dynamical systems, in which they are mapped onto a complex network. The nodes represent the regions of space visited by the system, while the edges represent the transitions between these regions. Parameters developed to quantify the properties of complex networks, including those related to higher order neighbourhoods, are used in the analysis. The methodology is tested on the logistic map, focusing on the onset of chaos and chaotic regimes. The corresponding networks were found to have distinct features that are associated with the particular type of dynamics that generated them.     

Preservation of network degree distributions from non-uniform failures

There has been a considerable amount of interest in recent years on the robustness of networks to failures. Many previous studies have concentrated on the effects of node and edge removals on the connectivity structure of a static network; the networks are considered to be static in the sense that no compensatory measures are allowed for recovery of the original structure. Real world networks such as the world wide web, however, are not static and experience a considerable amount of turnover, where nodes and edges are both added and deleted. Considering degree-based node removals, we examine the possibility of preserving networks from these types of disruptions. We recover the original degree distribution by allowing the network to react to the attack by introducing new nodes and attaching their edges via specially tailored schemes. We focus particularly on the case of non-uniform failures, a subject that has received little attention in the context of evolving networks. Using a combination of analytical techniques and numerical simulations, we demonstrate how to preserve the exact degree distribution of the studied networks from various forms of attack.     

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.     

Walks on Apollonian networks

We carry out comparative studies of random walks on deterministic Apollonian networks (DANs) and random Apollonian networks (RANs). We perform computer simulations for the mean first-passage time, the average return time, the mean-square displacement, and the network coverage for the unrestricted random walk. The diffusions both on DANs and RANs are proved to be sublinear. The effects of the network structure on the dynamics and the search efficiencies of walks with various strategies are also discussed. Contrary to intuition, it is shown that the self-avoiding random walk, which has been verified as an optimal local search strategy in networks, is not the best strategy for the DANs in the large size limit.     

Developmental time windows for spatial growth generate multiple-cluster small-world networks

Many networks extent in space, may it be metric (e.g. geographic) or non-metric (ordinal). Spatial network growth, which depends on the distance between nodes, can generate a wide range of topologies from small-world to linear scale-free networks. However, networks often lacked multiple clusters or communities. Multiple clusters can be generated, however, if there are time windows during development. Time windows ensure that regions of the network develop connections at different points in time. This novel approach could generate small-world but not scale-free networks. The resulting topology depended critically on the overlap of time windows as well as on the position of pioneer nodes.     

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.     

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.     

Empirical validation of stochastic models of interacting agents

The present paper expands on recent attempts at estimating the parameters of simple interacting-agent models of financial markets [S. Alfarano, T. Lux, F. Wagner, Computational Economics 26, 19 (2005); S. Alfarano, T. Lux, F. Wagner, in Funktionsf?higkeit und Stabilit?t von Finanzm?rkten, edited by W. Franz, H. Ramser, M. Stadler (Mohr Siebeck, Tübingen, 2005), pp. 241–254]. Here we provide additional evidence by (i) investigating a large sample of individual stocks from the Tokyo Stock Exchange, and (ii) comparing results from the baseline noise trader/fundamentalist model of [S. Alfarano, T. Lux, F. Wagner, Computational Economics 26, 19 (2005)] with those obtained from an even simpler version with a preponderance of noise trader behaviour. As it turns out, this somewhat more parsimonious “maximally skewed” variant is often not rejected in favor of the more complex version. We also find that all stocks are dominated by noise trader behaviour irrespective of whether the data prefer the skewed or the baseline version of our model.     

Crime and punishment: the economic burden of impunity

Crime is an economically relevant activity. It may represent a mechanism of wealth distribution but also a social and economic burden because of the interference with regular legal activities and the cost of the law enforcement system. Sometimes it may be less costly for the society to allow for some level of criminality. However, a drawback of such a policy is that it may lead to a high increase of criminal activity, that may become hard to reduce later on. Here we investigate the level of law enforcement required to keep crime within acceptable limits. A sharp phase transition is observed as a function of the probability of punishment. We also analyze other consequences of criminality as the growth of the economy, the inequality in the wealth distribution (the Gini coefficient) and other relevant quantities under different scenarios of criminal activity and probabilities of apprehension.     

Dynamic domain networks

A model for a dynamic network consisting of changing local interactions is presented in this work. While the network maintains solely local connections, certain properties known only to Small World Networks may be extracted due to the dynamic nature of the model. At each time step the individuals are grouped into clusters creating neighborhoods or domains of fully connected agents. The boundaries of these domains change in time, corresponding to a situation where the links between individuals are dynamic only throughout the history of the network. A question that we pose is whether our model, which maintains a local structure such that diffusion calculations are possible, might lead to analytic or conceptual advances for the much more complicated case of diffusion on a static disordered network that exhibits the same macroscopic properties as our dynamic ordered network. To answer this, we compare certain properties which characterize the dynamic domain network to those of a Small World Network, and then analyze the diffusion coefficients for three possible domain mutations. We close with a comparison and confirmation of previous epidemiological work carried out on networks.     

World currency exchange rate cross-correlations

World currency network constitutes one of the most complex structures that is associated with the contemporary civilization. On a way towards quantifying its characteristics we study the cross correlations in changes of the daily foreign exchange rates within the basket of 60 currencies in the period December 1998–May 2005. Such a dynamics turns out to predominantly involve one outstanding eigenvalue of the correlation matrix. The magnitude of this eigenvalue depends however crucially on which currency is used as a base currency for the remaining ones. Most prominent it looks from the perspective of a peripheral currency. This largest eigenvalue is seen to systematically decrease and thus the structure of correlations becomes more heterogeneous, when more significant currencies are used as reference. An extreme case in this later respect is the USD in the period considered. Besides providing further insight into subtle nature of complexity, these observations point to a formal procedure that in general can be used for practical purposes of measuring the relative currencies significance on various time horizons.     

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.     

Modeling network growth with assortative mixing

We propose a model of an underlying mechanism responsible for the formation of assortative mixing in networks between “similar” nodes or vertices based on generic vertex properties. Existing models focus on a particular type of assortative mixing, such as mixing by vertex degree, or present methods of generating a network with certain properties, rather than modeling a mechanism driving assortative mixing during network growth. The motivation is to model assortative mixing by non-topological vertex properties, and the influence of these non-topological properties on network topology. The model is studied in detail for discrete and hierarchical vertex properties, and we use simulations to study the topology of resulting networks. We show that assortative mixing by generic properties directly drives the formation of community structure beyond a threshold assortativity of r ∼0.5, which in turn influences other topological properties. This direct relationship is demonstrated by introducing a new measure to characterise the correlation between assortative mixing and community structure in a network. Additionally, we introduce a novel type of assortative mixing in systems with hierarchical vertex properties, from which a hierarchical community structure is found to result. Electronic supplementary material Supplementary Online Material