Industrial Engineering Journal ›› 2013, Vol. 16 ›› Issue (4): 49-55.

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A Study on Complex Networks for Price Transmission of Industrial Products in China Based on Symbolic Dynamics

  

  1. 1.School of Business Administration, South China University of Technology, Guangzhou 510640, China;
    2.College of Computational Science, ZhongKai University of Agriculture and Technology, Guangzhou 510225, China
  • Online:2013-08-31 Published:2013-11-22

Abstract: In order to study the price synchronization transmission of industrial products in China, 6 price indexes are selected as the price conduction chain of industrial products. The price transmission synchronization complex networks in China are established by using symbolic dynamics. Then, with the price conduction of automotive industry in Guangzhou as an example, the degree of distribution, weighted clustering coefficient, average shortest path length, and community structure of the network are analyzed. It is found that they share basically the same price conduction dynamics nature. In conclusion, a new perspective and approach of forecasting and controlling price volatility is provided.

Key words: industrial products, price transmission, complex networks, symbolic dynamics