The input-output network

Input-Output Network

I study the economy as a complex system, where aggregate features in the economy emerge from the interaction of heterogeneous sectors. In particular I investigate whether complex network measures provide a better means to measure the linkages emerging from the structure of intersectoral dependencies and how these effects impact the macroeconomy.

The structure of intersectoral dependencies, represented in the technological coefficient matrix, gives rise to a weighted directed network with self loops where sectors are nodes and the economic transactions taking place through the supply and demand of inputs are the links tying them together.

Figure 1. Construction of the Input-output Network from the input-output table of a country

I analyzed the French input-output network. First results were presented in the 21st International Input-Output Conference, Kitakyushu, Japan, 8-12 July 2013 (see document below), and in the workshop entitiled Getting Inside the Black Box:Technological Evolution and Economic Growth, held at the Santa Fe Institute Santa Fe, NM, 7-31 August 2013.

Currently I am analyzing the Mexican input-output network and its relation to prices and inflation.