A microscopic study of the fitness-dependent topology of the world trade network

K. Hoppe and G.J. Rodgers

Physica A: Statistical Mechanics and its Applications, 2015, vol. 419, issue C, 64-74

Abstract: Previous studies have suggested that the world-trade network belongs to the class of static hidden variable models. In this article we investigate the microscopic structure of the world trade network, that is the hidden variable correlation matrix of the network. The hidden variable is defined as a rank ordering of gross domestic products. This choice significantly reduces the noise in the statistical analysis found in previous studies. The hidden variable correlation matrix, that expresses the probability that a trade relationship between two countries of given fitness exists, suggests an attachment kernel that at least partially favours trading pairs or dissimilar fitness rather than the purely multiplicative one found previously. Additionally, we provide an in-depth look at the data source and reveal that first-order results, such as the degree distribution, exhibit significant qualitative differences depending on the data provider. Furthermore, we shed light on the intertemporal activity of international trade and point out that fluctuations occur mostly between countries with strong dissimilarities of fitness and connectivity.

Keywords: World trade network; Fitness model; Complex networks (search for similar items in EconPapers)
Date: 2015
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0378437114007948
Full text for ScienceDirect subscribers only. Journal offers the option of making the article available online on Science direct for a fee of $3,000

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:phsmap:v:419:y:2015:i:c:p:64-74

DOI: 10.1016/j.physa.2014.09.036

Access Statistics for this article

Physica A: Statistical Mechanics and its Applications is currently edited by K. A. Dawson, J. O. Indekeu, H.E. Stanley and C. Tsallis

More articles in Physica A: Statistical Mechanics and its Applications from Elsevier
Bibliographic data for series maintained by Catherine Liu ().