This paper introduces a formulation of the optimal network compression problem for financial systems. This general … formulation is presented for different levels of network compression or rerouting allowed from the initial inter-bank network. We … systematic shocks to the financial network. We conclude by studying the optimal compression problem for specific networks; this …

The multicommodity network flow problem is a classical issue in network optimization, where the objective is to route … multicommodity network flow models. This study focuses on the discrete dynamic multicommodity flow (DDMF) problem with intermediate … node storage, which aims to minimize the cost of network flow over time. To achieve this, the path-flow formulation of DDMF …

Risk interaction network (RIN), a system comprised of risk (nodes) and triggering relations (edges) between risks … customizes a novel network simulation-based procedure (NS procedure) for solution generation to increase the matching degree …