Towards real-world complexity: an introduction to multiplex networks

Many real-world complex systems are best modeled by multiplex networks of interacting network layers. The multiplex network study is one of the newest and hottest themes in the statistical physics of complex networks. Pioneering studies have proven that the multiplexity has broad impact on the system's structure and function. In this Colloquium paper, we present an organized review of the growing body of current literature on multiplex networks by categorizing existing studies broadly according to the type of layer coupling in the problem. Major recent advances in the field are surveyed and some outstanding open challenges and future perspectives will be proposed.Comment: 20 pages, 10 figure

Spreading processes in Multilayer Networks

Several systems can be modeled as sets of interconnected networks or networks with multiple types of connections, here generally called multilayer networks. Spreading processes such as information propagation among users of an online social networks, or the diffusion of pathogens among individuals through their contact network, are fundamental phenomena occurring in these networks. However, while information diffusion in single networks has received considerable attention from various disciplines for over a decade, spreading processes in multilayer networks is still a young research area presenting many challenging research issues. In this paper we review the main models, results and applications of multilayer spreading processes and discuss some promising research directions.Comment: 21 pages, 3 figures, 4 table

Multilayer Networks

In most natural and engineered systems, a set of entities interact with each other in complicated patterns that can encompass multiple types of relationships, change in time, and include other types of complications. Such systems include multiple subsystems and layers of connectivity, and it is important to take such "multilayer" features into account to try to improve our understanding of complex systems. Consequently, it is necessary to generalize "traditional" network theory by developing (and validating) a framework and associated tools to study multilayer systems in a comprehensive fashion. The origins of such efforts date back several decades and arose in multiple disciplines, and now the study of multilayer networks has become one of the most important directions in network science. In this paper, we discuss the history of multilayer networks (and related concepts) and review the exploding body of work on such networks. To unify the disparate terminology in the large body of recent work, we discuss a general framework for multilayer networks, construct a dictionary of terminology to relate the numerous existing concepts to each other, and provide a thorough discussion that compares, contrasts, and translates between related notions such as multilayer networks, multiplex networks, interdependent networks, networks of networks, and many others. We also survey and discuss existing data sets that can be represented as multilayer networks. We review attempts to generalize single-layer-network diagnostics to multilayer networks. We also discuss the rapidly expanding research on multilayer-network models and notions like community structure, connected components, tensor decompositions, and various types of dynamical processes on multilayer networks. We conclude with a summary and an outlook.Comment: Working paper; 59 pages, 8 figure

Layer-switching cost and optimality in information spreading on multiplex networks

We study a model of information spreading on multiplex networks, in which agents interact through multiple interaction channels (layers), say online vs.\ offline communication layers, subject to layer-switching cost for transmissions across different interaction layers. The model is characterized by the layer-wise path-dependent transmissibility over a contact, that is dynamically determined dependently on both incoming and outgoing transmission layers. We formulate an analytical framework to deal with such path-dependent transmissibility and demonstrate the nontrivial interplay between the multiplexity and spreading dynamics, including optimality. It is shown that the epidemic threshold and prevalence respond to the layer-switching cost non-monotonically and that the optimal conditions can change in abrupt non-analytic ways, depending also on the densities of network layers and the type of seed infections. Our results elucidate the essential role of multiplexity that its explicit consideration should be crucial for realistic modeling and prediction of spreading phenomena on multiplex social networks in an era of ever-diversifying social interaction layers.Comment: 15 pages, 7 figure

The multi-layer network nature of systemic risk and its implications for the costs of financial crises

The inability to see and quantify systemic financial risk comes at an immense social cost. Systemic risk in the financial system arises to a large extent as a consequence of the interconnectedness of its institutions, which are linked through networks of different types of financial contracts, such as credit, derivatives, foreign exchange and securities. The interplay of the various exposure networks can be represented as layers in a financial multi-layer network. In this work we quantify the daily contributions to systemic risk from four layers of the Mexican banking system from 2007-2013. We show that focusing on a single layer underestimates the total systemic risk by up to 90%. By assigning systemic risk levels to individual banks we study the systemic risk profile of the Mexican banking system on all market layers. This profile can be used to quantify systemic risk on a national level in terms of nation-wide expected systemic losses. We show that market-based systemic risk indicators systematically underestimate expected systemic losses. We find that expected systemic losses are up to a factor four higher now than before the financial crisis of 2007-2008. We find that systemic risk contributions of individual transactions can be up to a factor of thousand higher than the corresponding credit risk, which creates huge risks for the public. We find an intriguing non-linear effect whereby the sum of systemic risk of all layers underestimates the total risk. The method presented here is the first objective data driven quantification of systemic risk on national scales that reveal its true levels.Comment: 15 pages, 6 figure