Fitness-dependent topological properties of the World Trade Web

We present an integrated database suitable for the investigations of the Economic development of countries by using the Economic Fitness and Complexity framework. Firstly, we implement machine learning techniques to reconstruct the database of Trade of Services and we integrate it with the database of the Trade of the physical Goods, generating a complete view of the International Trade and denoted the Universal database. Using this data, we derive a statistically significant...

The large-scale organization of the world economies is exhibiting increasingly levels of local heterogeneity and global interdependency. Understanding the relation between local and global features calls for analytical tools able to uncover the global emerging organization of the international trade network. Here we analyze the world network of bilateral trade imbalances and characterize its overall flux organization, unraveling local and global high-flux pathways that define...

The structure of the International Trade Network (ITN), whose nodes and links represent world countries and their trade relations respectively, affects key economic processes worldwide, including globalization, economic integration, industrial production, and the propagation of shocks and instabilities. Characterizing the ITN via a simple yet accurate model is an open problem. The traditional Gravity Model (GM) successfully reproduces the volume of trade between connected cou...

In this note we study the bilateral merchandise trade flows between 186 countries over the 1948-2005 period using data from the International Monetary Fund. We use Pajek to identify network structure and behavior across thresholds and over time. In particular, we focus on the evolution of trade "islands" in the a world trade network in which countries are linked with directed edges weighted according to fraction of total dollars sent from one country to another. We find mixed...

We study the structure of the international trade hypergraph consisting of triangular hyperedges representing the exporter-importer-product relationship. Measuring the mean hyperdegree of the adjacent vertices, we first find its behaviors different from those in the pairwise networks and explain the origin by tracing the relation between the hyperdegree and the pairwise degree. To interpret the observed hyperdegree correlation properties in the context of trade strategies, we...

We study a model of wealth dynamics [Bouchaud and M\'ezard 2000, \emph{Physica A} \textbf{282}, 536] which mimics transactions among economic agents. The outcomes of the model are shown to depend strongly on the topological properties of the underlying transaction network. The extreme cases of a fully connected and a fully disconnected network yield power-law and log-normal forms of the wealth distribution respectively. We perform numerical simulations in order to test the mo...

In the paper, we present an incremental approach in the construction of scale free networks with hidden variables. The work arises from the necessity to generate that type of networks with a given number of links instead of obtaining a random configurations for a given set of parameters as in the usual literature. I propose an analytical approach of network evolution models gathering information along time based on the construction of a stochastic process on the space of poss...

We show that the Internet topology at the Autonomous System (AS) level has a rich--club phenomenon. The rich nodes, which are a small number of nodes with large numbers of links, are very well connected to each other. The rich--club is a core tier that we measured using the rich--club connectivity and the node--node link distribution. We obtained this core tier without any heuristic assumption between the ASes. The rich--club phenomenon is a simple qualitative way to differen...

In recent years, methods from network science are gaining rapidly interest in economics and finance. A reason for this is that in a globalized world the interconnectedness among economic and financial entities are crucial to understand and networks provide a natural framework for representing and studying such systems. In this paper, we are surveying the use of networks and network-based methods for studying economy related questions. We start with a brief overview of graph t...

The Internet topology at the Autonomous Systems level (AS graph) has a power--law degree distribution and a tier structure. In this paper, we introduce the Interactive Growth (IG) model based on the joint growth of new nodes and new links. This simple and dynamic model compares favorable with other Internet power--law topology generators because it not only closely resembles the degree distribution of the AS graph, but also accurately matches the hierarchical structure, which...