Modeling and Robust Design of Networks under Risk: The Case of Information Infrastructure

Ermoliev, Y., Gaivoronski, A.A., & Makowski, M. ORCID: https://orcid.org/0000-0002-6107-0972 (2007). Modeling and Robust Design of Networks under Risk: The Case of Information Infrastructure. IIASA Interim Report. IIASA, Laxenburg, Austria: IR-07-039

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Abstract

Study of network risks allows to develop insights into the methods of building robust networks, which are also critical elements of infrastructures that are of a paramount importance for the modern society. In this paper we show how the modern quantitative modeling methodologies can be employed for analysis of network risks and for design of robust networks under uncertainty. This is done on the example of important problem arising in the process of building of the information infrastructure: provision of advanced mobile data services.

We show how portfolio theory developed in the modern finance can be used for design of robust provision network comprising of independent agents. After this the modeling frameworks of Bayesian nets andMarkov fields are used for the study of several problems fundamental for the process of service adoption such as the sensitivity of networks, the direction of improvements, and the propagation of user attitudes on social networks.

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