This paper examines the interplay of opinion exchange dynamics and communication network formation. An opinion formation procedure is introduced which is based on an abstract representation of opinions as k-dimensional bit-strings. Individuals interact if the difference in the opinion strings is...

An analytical treatment of a simple opinion model with contrarian behavior is presented. The focus is on the stationary dynamics of the model and in particular on the effect of inhomogeneities in the interaction topology on the stationary behavior. We start from a micro-level Markov chain...

A model is developed to study the effectiveness of innovation and its impact on structure creation on agent-based societies. The abstract model that is developed is easily adapted to any particular field. In an interacting environment, the agents receive something from the environment (the other...

We study the international interbank market through a geometric analysis of empirical data. The geometric analysis of the time series of cross-country liabilities shows that the systematic information of the interbank international market is contained in a space of small dimension. Geometric...

The recent financial crisis has stressed the need to understand financial systems as networks of interdependent countries, where cross-border financial linkages play the fundamental role. It has also been emphasized that the relevance of these networks relies on the representation of changes...

We revisit a recently introduced agent model [ACS, 11, 99 (2008)], where economic growth is a consequence of education (human capital formation) and innovation, and investigate the influence of the agents’ social network, both on an agent’s decision to pursue education and on the output of...

This paper investigates the common intuition suggesting that during crises the shape of the financial market clearly differentiates from that of random walk processes. In this sense, it challenges the traditional analysis of the nature of financial markets implicit in the most popular models....

Using a metric related to the returns correlation, a method is proposed to reconstruct an economic space from the market data. A reduced subspace, associated to the systematic structure of the market, is identified and its dimension related to the number of terms in factor models. Examples were...

Positions offered on a labour market and workers preferences are described here by bit strings representing individual traits. We study the co-evolution of workers and firms preferences modeled by such traits. Individual “size-like” properties are controlled by binary encounters whose...

Positional behaviour is arguably a source of social externalities. Remedies for this market failure are defended by some authors and rejected by others. One of the issues discussed is the role that the competition for positional goods may have in generating technological innovation. This article...