%0 Journal Article
%T Ecosystems perspective on financial networks: diagnostic tools
%A Eduardo Viegas
%A Misako Takayasu
%A Wataru Miura
%A Koutarou Tamura
%A Takaaki Ohnishi
%A Hideki Takayasu
%A Henrik Jeldtoft Jensen
%J Physics
%D 2013
%I arXiv
%X The economical world consists of a highly interconnected and interdependent network of firms. Here we develop temporal and structural network tools to analyze the state of the economy. Our analysis indicates that a strong clustering can be a warning sign. Reduction in diversity, which was an essential aspect of the dynamics surrounding the crash in 2008, is seen as a key emergent feature arising naturally from the evolutionary and adaptive dynamics inherent to the financial markets. Similarly, collusion amongst construction firms in a number of regions in Japan in the 2000s can be identified with the formation of clusters of anomalous highly connected companies.
%U http://arxiv.org/abs/1301.5821v1