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Systems and systemic risk in finance and economics

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  • Zigrand, Jean-Pierre

Abstract

This paper examines the concept of systemic risk and provides an intuitive account of the economic thought on systems and the development of the notion of systemic risk. It is illustrated by putting the ideas of system, systemic risk and endogenous risk in a historial perspective.

Suggested Citation

  • Zigrand, Jean-Pierre, 2014. "Systems and systemic risk in finance and economics," LSE Research Online Documents on Economics 61220, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:61220
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    File URL: http://eprints.lse.ac.uk/61220/
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    Cited by:

    1. Ji, Yang & Bian, Wenlong & Huang, Yiping, 2018. "Deposit insurance, bank exit, and spillover effects," Journal of Banking & Finance, Elsevier, vol. 96(C), pages 268-276.
    2. Smaga, Pawel, 2014. "The concept of systemic risk," LSE Research Online Documents on Economics 61214, London School of Economics and Political Science, LSE Library.
    3. Jieshuang He, 2016. "Endogenous Bank Networks and Contagion," CAEPR Working Papers 2016-005, Center for Applied Economics and Policy Research, Department of Economics, Indiana University Bloomington.
    4. Christian Thimann, 2014. "How Insurers Differ from Banks: A Primer on Systemic Regulation," PSE Working Papers halshs-01074933, HAL.
    5. Oliver Kley & Claudia Klüppelberg & Gesine Reinert, 2016. "Risk in a Large Claims Insurance Market with Bipartite Graph Structure," Operations Research, INFORMS, vol. 64(5), pages 1159-1176, October.
    6. Grinis, Inna, 2015. "Credit risk spillovers, systemic importance and vulnerability in financial networks," LSE Research Online Documents on Economics 60954, London School of Economics and Political Science, LSE Library.
    7. Gong, Rui & Page, Frank, 2016. "Systemic risk and the dynamics of temporary financial networks," LSE Research Online Documents on Economics 67810, London School of Economics and Political Science, LSE Library.
    8. Garcia-Jorcano, Laura & Sanchis-Marco, Lidia, 2021. "Systemic-systematic risk in financial system: A dynamic ranking based on expectiles," International Review of Economics & Finance, Elsevier, vol. 75(C), pages 330-365.
    9. Dike Chukwudi Henry, 2019. "Systemic Risk and The Clearing System," Annals of Social Sciences & Management studies, Juniper Publishers Inc., vol. 3(1), pages 17-18, March.
    10. Lin Zou & Lijuan Xie & Yuanjing Yang, 2019. "A Double-Layer Network and the Contagion Mechanism of China's Financial Systemic Risk," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 22(4), pages 1-9.
    11. De Caux, Robert & McGroarty, Frank & Brede, Markus, 2017. "The evolution of risk and bailout strategy in banking systems," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 468(C), pages 109-118.

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    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G23 - Financial Economics - - Financial Institutions and Services - - - Non-bank Financial Institutions; Financial Instruments; Institutional Investors
    • G33 - Financial Economics - - Corporate Finance and Governance - - - Bankruptcy; Liquidation

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