Complex networks analysis in socioeconomic models

This chapter aims at reviewing complex networks models and methods that were either developed for or applied to socioeconomic issues, and pertinent to the theme of New Economic Geography. After an introduction to the foundations of the field of complex networks, the present summary adds insights on the statistical mechanical approach, and on the most relevant computational aspects for the treatment of these systems. As the most frequently used model for interacting agent-based systems, a brief description of the statistical mechanics of the classical Ising model on regular lattices, together with recent extensions of the same model on small-world Watts-Strogatz and scale-free Albert-Barabasi complex networks is included. Other sections of the chapter are devoted to applications of complex networks to economics, finance, spreading of innovations, and regional trade and developments. The chapter also reviews results involving applications of complex networks to other relevant socioeconomic issues, including results for opinion and citation networks. Finally, some avenues for future research are introduced before summarizing the main conclusions of the chapter.Comment: 39 pages, 185 references, (not final version of) a chapter prepared for Complexity and Geographical Economics - Topics and Tools, P. Commendatore, S.S. Kayam and I. Kubin Eds. (Springer, to be published

Disentangling agglomeration and network externalities : a conceptual typology

Agglomeration and network externalities are fuzzy concepts. When different meanings are (un)intentionally juxtaposed in analyses of the agglomeration/network externalities-menagerie, researchers may reach inaccurate conclusions about how they interlock. Both externality types can be analytically combined, but only when one adopts a coherent approach to their conceptualization and operationalization, to which end we provide a combinatorial typology. We illustrate the typology by applying a state-of-the-art bipartite network projection detailing the presence of globalized producer services firms in cities in 2012. This leads to two one-mode graphs that can be validly interpreted as topological renderings of agglomeration and network externalities