COMPLEX SYSTEMS Complexity theory and financial regulation
- Traditional economic theory could not explain, much less predict, the near collapse of the financial system and its long-lasting effects on the global economy. Since the 2008 crisis, there has been increasing interest in using ideas from complexity theory to make sense of economic and financial markets. Concepts, such as tipping points, networks, contagion, feedback, and resilience have entered the financial and regulatory lexicon, but actual use of complexity models and results remains at an early stage. Recent insights and techniques offer potential for better monitoring and management of highly interconnected economic and financial systems and, thus, may help anticipate and manage future crises.
| Author details: | Stefano Battiston, J. Doyne Farmer, Andreas Flache, Diego Garlaschelli, Andrew G. Haldane, Hans Heesterbeek, Cars Hommes, Carlo JaegerORCiDGND, Robert May, Marten Scheffer |
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| DOI: | https://doi.org/10.1126/science.aad0299 |
| ISSN: | 0036-8075 |
| ISSN: | 1095-9203 |
| Pubmed ID: | https://pubmed.ncbi.nlm.nih.gov/26912882 |
| Title of parent work (English): | Science |
| Publisher: | American Assoc. for the Advancement of Science |
| Place of publishing: | Washington |
| Publication type: | Other |
| Language: | English |
| Year of first publication: | 2016 |
| Publication year: | 2016 |
| Release date: | 2020/03/22 |
| Volume: | 351 |
| Number of pages: | 2 |
| First page: | 818 |
| Last Page: | 819 |
| Organizational units: | Mathematisch-Naturwissenschaftliche Fakultät / Institut für Physik und Astronomie |
| Peer review: | Referiert |
