Metastable Features of Economic Networks and Responses to Exogenous Shocks

It has been proved that network structure plays an important role in addressing a collective behaviour. In this paper we consider a network of firms and corporations and study its metastable features in an Ising based model. In our model, we observe that if in a recession the government imposes a demand shock to stimulate the network, metastable features shape its response. Actually we find that there is a minimum bound where demand shocks with a size below it are unable to trigger the market ou...