Information transmission a good predictor of credit crisis
Friday, May 31, 2013 - 10:00
in Mathematics & Economics
The recent credit crisis was preceded by a sharp increase in the transmission of information in the largest derivatives market. Such transmissions can therefore serve as indicators for the instability of the market. A team of researchers from the University of Amsterdam (UvA) and the Dutch ING Bank discovered this unexpected link and have published their findings in the leading online journal Scientific Reports, from the publishers of Nature.