Search results for: Ductility Classes
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 468

Search results for: Ductility Classes

258 Cognitive Virtual Exploration for Optimization Model Reduction

Authors: Livier Serna, Xavier Fischer, Fouad Bennis

Abstract:

In this paper, a decision aid method for preoptimization is presented. The method is called “negotiation", and it is based on the identification, formulation, modeling and use of indicators defined as “negotiation indicators". These negotiation indicators are used to explore the solution space by means of a classbased approach. The classes are subdomains for the negotiation indicators domain. They represent equivalent cognitive solutions in terms of the negotiation indictors being used. By this method, we reduced the size of the solution space and the criteria, thus aiding the optimization methods. We present an example to show the method.

Keywords: Optimization Model Reduction, Pre-Optimization, Negotiation Process, Class-Making, Cognition Based VirtualExploration.

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257 Characterization of Monoids by a Generalization of Flatness Property

Authors: Mahdiyeh Abbasi, Akbar Golchin

Abstract:

It is well-known that, using principal weak flatness property, some important monoids are characterized, such as regular monoids, left almost regular monoids, and so on. In this article, we define a generalization of principal weak flatness called GP-Flatness, and will characterize monoids by this property of their right (Rees factor) acts. Also we investigate new classes of monoids called generally regular monoids and generally left almost regular monoids.

Keywords: G-left stabilizing, GP-flatness, generally regular, principal weak flatness.

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256 SATA: A Web Based Scheduling Support System

Authors: Rajeswari Raju, Saiful Nizam Warris, Hazlifah Mohd Rusli

Abstract:

Developing a university course schedule is difficult. This is due to the limitations in the resources available. The process is made even harder with different faculties or departments having different ways of stating their schedule requirements. The person in charge of taking the schedule requirements and turning them into a proper course schedule is not only burden with the task of allocating the appropriate classes and time to lecturers and students, they also need to understand the schedule requirements. Therefore a scheduling support system named SATA is developed to assist ICRESS in the course scheduling process. SATA has been put to use for several semesters and the results have been encouraging. It won a bronze medal in the 2008 Invention, Innovation and Design competition (IID-08) and has been submitted to be patented in October 2008

Keywords: Course Scheduling, Scheduling Tool Aid.

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255 Enhancing Seismic Performance of Ductile Moment Frames with Delayed Wire-Rope Bracing Using Middle Steel Plate

Authors: Babak Dizangian, Mohammad Reza Ghasemi, Akram Ghalandari

Abstract:

Moment frames have considerable ductility against cyclic lateral loads and displacements; however, if this feature causes the relative displacement to exceed the permissible limit, it can impose unfavorable hysteretic behavior on the frame. Therefore, adding a bracing system with the capability of preserving the capacity of high energy absorption and controlling displacements without a considerable increase in the stiffness is quite important. This paper investigates the retrofitting of a single storey steel moment frame through a delayed wire-rope bracing system using a middle steel plate. In this model, the steel plate lies where the wire ropes meet, and the model geometry is such that the cables are continuously under tension so that they can take the most advantage of the inherent potential they have in tolerating tensile stress. Using the steel plate also reduces the system stiffness considerably compared to cross bracing systems and preserves the ductile frame’s energy absorption capacity. In this research, the software models of delayed wire-rope bracing system have been studied, validated, and compared with other researchers’ laboratory test results.

Keywords: Ductile moment frame, delayed wire rope bracing, cyclic loading, hysteresis curve, energy absorption.

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254 No one Set of Parameter Values Can Simulate the Epidemics Due to SARS Occurring at Different Localities

Authors: Weerachi Sarakorn, I-Ming Tang

Abstract:

A mathematical model for the transmission of SARS is developed. In addition to dividing the population into susceptible (high and low risk), exposed, infected, quarantined, diagnosed and recovered classes, we have included a class called untraced. The model simulates the Gompertz curves which are the best representation of the cumulative numbers of probable SARS cases in Hong Kong and Singapore. The values of the parameters in the model which produces the best fit of the observed data for each city are obtained by using a differential evolution algorithm. It is seen that the values for the parameters needed to simulate the observed daily behaviors of the two epidemics are different.

Keywords: SARS, mathematical modelling, differential evolution algorithm.

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253 An Approach for Optimization of Functions and Reducing the Value of the Product by Using Virtual Models

Authors: A. Bocevska, G. Todorov, T. Neshkov

Abstract:

New developed approach for Functional Cost Analysis (FCA) based on virtual prototyping (VP) models in CAD/CAE environment, applicable and necessary in developing new products is presented. It is instrument for improving the value of the product while maintaining costs and/or reducing the costs of the product without reducing value. Five broad classes of VP methods are identified. Efficient use of prototypes in FCA is a vital activity that can make the difference between successful and unsuccessful entry of new products into the competitive word market. Successful realization of this approach is illustrated for a specific example using press joint power tool.

Keywords: CAD/CAE environment, Functional Cost Analysis (FCA), Virtual prototyping (VP) models.

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252 Cluster Analysis for the Statistical Modeling of Aesthetic Judgment Data Related to Comics Artists

Authors: George E. Tsekouras, Evi Sampanikou

Abstract:

We compare three categorical data clustering algorithms with respect to the problem of classifying cultural data related to the aesthetic judgment of comics artists. Such a classification is very important in Comics Art theory since the determination of any classes of similarities in such kind of data will provide to art-historians very fruitful information of Comics Art-s evolution. To establish this, we use a categorical data set and we study it by employing three categorical data clustering algorithms. The performances of these algorithms are compared each other, while interpretations of the clustering results are also given.

Keywords: Aesthetic judgment, comics artists, cluster analysis, categorical data.

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251 Ottoman Script Recognition Using Hidden Markov Model

Authors: Ayşe Onat, Ferruh Yildiz, Mesut Gündüz

Abstract:

In this study, an OCR system for segmentation, feature extraction and recognition of Ottoman Scripts has been developed using handwritten characters. Detection of handwritten characters written by humans is a difficult process. Segmentation and feature extraction stages are based on geometrical feature analysis, followed by the chain code transformation of the main strokes of each character. The output of segmentation is well-defined segments that can be fed into any classification approach. The classes of main strokes are identified through left-right Hidden Markov Model (HMM).

Keywords: Chain Code, HMM, Ottoman Script Recognition, OCR

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250 The Applicability of the Zipper Strut to Seismic Rehabilitation of Steel Structures

Authors: G. R. Nouri, H. Imani Kalesar, Zahra Ameli

Abstract:

Chevron frames (Inverted-V-braced frames or Vbraced frames) have seismic disadvantages, such as not good exhibit force redistribution capability and compression brace buckles immediately. Researchers developed new design provisions on increasing both the ductility and lateral resistance of these structures in seismic areas. One of these new methods is adding zipper columns, as proposed by Khatib et al. (1988) [2]. Zipper columns are vertical members connecting the intersection points of the braces above the first floor. In this paper applicability of the suspended zipper system to Seismic Rehabilitation of Steel Structures is investigated. The models are 3-, 6-, 9-, and 12-story Inverted-V-braced frames. In this case, it is assumed that the structures must be rehabilitated. For rehabilitation of structures, zipper column is used. The result of researches showed that the suspended zipper system is effective in case of 3-, 6-, and 9-story Inverted-V-braced frames and it would increase lateral resistance of structure up to life safety level. But in case of high-rise buildings (such as 12 story frame), it doesn-t show good performance. For solving this problem, the braced bay can consist of small “units" over the height of the entire structure, which each of them is a zipper-braced bay with a few stories. By using this method the lateral resistance of 12 story Inverted-V-braced frames is increased up to safety life level.

Keywords: chevron-braced frames, suspended zipper frames, zipper frames, zipper columns

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249 Wave Atom Transform Based Two Class Motor Imagery Classification

Authors: Nebi Gedik

Abstract:

Electroencephalography (EEG) investigations of the brain computer interfaces are based on the electrical signals resulting from neural activities in the brain. In this paper, it is offered a method for classifying motor imagery EEG signals. The suggested method classifies EEG signals into two classes using the wave atom transform, and the transform coefficients are assessed, creating the feature set. Classification is done with SVM and k-NN algorithms with and without feature selection. For feature selection t-test approaches are utilized. A test of the approach is performed on the BCI competition III dataset IIIa.

Keywords: motor imagery, EEG, wave atom transform, SVM, k-NN, t-test

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248 Use of Technology to Improve Students’ Attitude in Learning Mathematics of Non-Mathematics Undergraduate Students

Authors: Asia Majeed

Abstract:

This paper will investigate a form of learning mathematics by integrating technology in mathematics specifically for the university first-year calculus class to support students’ engagement in learning which influences students' conceptual and procedural understanding of the calculus content in a better way. The students with good grades in high school calculus generally struggle in first-year university calculus classes in learning mathematical analysis concepts. This problem has to be addressed. If this problem is not resolved, then most likely students with less ability to do mathematics might not able to complete their degrees. In this work, MATLAB is used to help students in learning and in improving calculus concepts.

Keywords: Calculus, first-year university students, teaching strategies, MATLAB.

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247 New Stabilization for Switched Neutral Systems with Perturbations

Authors: Lianglin Xiong, Shouming Zhong, Mao Ye

Abstract:

This paper addresses the stabilization issues for a class of uncertain switched neutral systems with nonlinear perturbations. Based on new classes of piecewise Lyapunov functionals, the stability assumption on all the main operators or the convex combination of coefficient matrices is avoid, and a new switching rule is introduced to stabilize the neutral systems. The switching rule is designed from the solution of the so-called Lyapunov-Metzler linear matrix inequalities. Finally, three simulation examples are given to demonstrate the significant improvements over the existing results.

Keywords: Switched neutral system, piecewise Lyapunov functional, nonlinear perturbation, Lyapunov-Metzler linear matrix inequality.

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246 Unsupervised Texture Classification and Segmentation

Authors: V.P.Subramanyam Rallabandi, S.K.Sett

Abstract:

An unsupervised classification algorithm is derived by modeling observed data as a mixture of several mutually exclusive classes that are each described by linear combinations of independent non-Gaussian densities. The algorithm estimates the data density in each class by using parametric nonlinear functions that fit to the non-Gaussian structure of the data. This improves classification accuracy compared with standard Gaussian mixture models. When applied to textures, the algorithm can learn basis functions for images that capture the statistically significant structure intrinsic in the images. We apply this technique to the problem of unsupervised texture classification and segmentation.

Keywords: Gaussian Mixture Model, Independent Component Analysis, Segmentation, Unsupervised Classification.

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245 Exploring Counting Methods for the Vertices of Certain Polyhedra with Uncertainties

Authors: Sammani Danwawu Abdullahi

Abstract:

Vertex Enumeration Algorithms explore the methods and procedures of generating the vertices of general polyhedra formed by system of equations or inequalities. These problems of enumerating the extreme points (vertices) of general polyhedra are shown to be NP-Hard. This lead to exploring how to count the vertices of general polyhedra without listing them. This is also shown to be #P-Complete. Some fully polynomial randomized approximation schemes (fpras) of counting the vertices of some special classes of polyhedra associated with Down-Sets, Independent Sets, 2-Knapsack problems and 2 x n transportation problems are presented together with some discovered open problems.

Keywords: Approximation, counting with uncertainties, mathematical programming, optimization, vertex enumeration.

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244 Combining Diverse Neural Classifiers for Complex Problem Solving: An ECOC Approach

Authors: R. Ebrahimpour, M. Abbasnezhad Arabi, H. Babamiri Moghaddam

Abstract:

Combining classifiers is a useful method for solving complex problems in machine learning. The ECOC (Error Correcting Output Codes) method has been widely used for designing combining classifiers with an emphasis on the diversity of classifiers. In this paper, in contrast to the standard ECOC approach in which individual classifiers are chosen homogeneously, classifiers are selected according to the complexity of the corresponding binary problem. We use SATIMAGE database (containing 6 classes) for our experiments. The recognition error rate in our proposed method is %10.37 which indicates a considerable improvement in comparison with the conventional ECOC and stack generalization methods.

Keywords: Error correcting output code, combining classifiers, neural networks.

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243 Determining the Minimum Threshold for the Functional Relatedness of Inner-Outer Class

Authors: Sim Hui Tee, Rodziah Atan, Abdul Azim Abd Ghani

Abstract:

Inner class is a specialized class that defined within a regular outer class. It is used in some programming languages such as Java to carry out the task which is related to its outer class. The functional relatedness between inner class and outer class is always the main concern of defining an inner class. However, excessive use of inner class could sabotage the class cohesiveness. In addition, excessive inner class leads to the difficulty of software maintenance and comprehension. Our research aims at determining the minimum threshold for the functional relatedness of inner-outer class. Such minimum threshold is a guideline for removing or relocating the excessive inner class. Our research provides a feasible way for software developers to define inner classes which are functionally related to the outer class.

Keywords: Cohesion, functional relatedness of inner-outer class, inner class.

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242 Temperature Evolution, Microstructure and Mechanical Properties of Heat-Treatable Aluminum Alloy Welded by Friction Stir Welding: Comparison with Tungsten Inert Gas

Authors: Saliha Gachi, Mouloud Aissani, Fouad Boubenider

Abstract:

Friction Stir Welding (FSW) is a solid-state welding technique that can join material without melting the plates to be welded. In this work, we are interested to demonstrate the potentiality of FSW for joining the heat-treatable aluminum alloy 2024-T3 which is reputed as difficult to be welded by fusion techniques. Thereafter, the FSW joint is compared with another one obtained from a conventional fusion process Tungsten Inert Gas (TIG). FSW welds are made up using an FSW tool mounted on a milling machine. Single pass welding was applied to fabricated TIG joint. The comparison between the two processes has been made on the temperature evolution, mechanical and microstructure behavior. The microstructural examination revealed that FSW weld is composed of four zones: Base metal (BM), Heat affected zone (HAZ), Thermo-mechanical affected zone (THAZ) and the nugget zone (NZ). The NZ exhibits a recrystallized equiaxed refined grains that induce better mechanical properties and good ductility compared to TIG joint where the grains have a larger size in the welded region compared with the BM due to the elevated heat input. The microhardness results show that, in FSW weld, the THAZ contains the lowest microhardness values and increase in the NZ; however, in TIG process, the lowest values are localized on the NZ.

Keywords: Friction stir welding, tungsten inert gaz, aluminum, microstructure.

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241 A New Recognition Scheme for Machine- Printed Arabic Texts based on Neural Networks

Authors: Z. Shaaban

Abstract:

This paper presents a new approach to tackle the problem of recognizing machine-printed Arabic texts. Because of the difficulty of recognizing cursive Arabic words, the text has to be normalized and segmented to be ready for the recognition stage. The new scheme for recognizing Arabic characters depends on multiple parallel neural networks classifier. The classifier has two phases. The first phase categories the input character into one of eight groups. The second phase classifies the character into one of the Arabic character classes in the group. The system achieved high recognition rate.

Keywords: Neural Networks, character recognition, feature extraction, multiple networks, Arabic text.

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240 A Design-Based Cohesion Metric for Object-Oriented Classes

Authors: Jehad Al Dallal

Abstract:

Class cohesion is an important object-oriented software quality attribute. It indicates how much the members in a class are related. Assessing the class cohesion and improving the class quality accordingly during the object-oriented design phase allows for cheaper management of the later phases. In this paper, the notion of distance between pairs of methods and pairs of attribute types in a class is introduced and used as a basis for introducing a novel class cohesion metric. The metric considers the methodmethod, attribute-attribute, and attribute-method direct interactions. It is shown that the metric gives more sensitive values than other well-known design-based class cohesion metrics.

Keywords: Object-oriented software quality, object-orienteddesign, class cohesion.

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239 Energy Efficient Construction and the Seismic Resistance of Passive Houses

Authors: Vojko Kilar, Boris Azinović, David Koren

Abstract:

Recently, an increasing trend of passive and low-energy buildings transferring form non earthquake-prone to earthquake-prone regions has thrown out the question about the seismic safety of such buildings. The paper describes the most commonly used thermal insulating materials and the special details, which could be critical from the point of view of earthquake resistance. The most critical appeared to be the cases of buildings founded on the RC foundation slab lying on a thermal insulation (TI) layer made of extruded polystyrene (XPS). It was pointed out that in such cases the seismic response of such buildings might differ to response of their fixed based counterparts. The main parameters that need special designers’ attention are: the building’s lateral top displacement, the ductility demand of the superstructure, the foundation friction coefficient demand, the maximum compressive stress in the TI layer and the percentage of the uplifted foundation. The analyses have shown that the potentially negative influences of inserting the TI under the foundation slab could be expected only for slender high-rise buildings subjected to severe earthquakes. Oppositely it was demonstrated for the foundation friction coefficient demand which could exceed the capacity value yet in the case of low-rise buildings subjected to moderate earthquakes. Some suggestions to prevent the horizontal shifts are also given.

Keywords: Earthquake Response, Extruded Polystyrene (XPS), Low-Energy Buildings, Foundations on Thermal Insulation Layer.

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238 Frequency- and Content-Based Tag Cloud Font Distribution Algorithm

Authors: Ágnes Bogárdi-Mészöly, Takeshi Hashimoto, Shohei Yokoyama, Hiroshi Ishikawa

Abstract:

The spread of Web 2.0 has caused user-generated content explosion. Users can tag resources to describe and organize them. Tag clouds provide rough impression of relative importance of each tag within overall cloud in order to facilitate browsing among numerous tags and resources. The goal of our paper is to enrich visualization of tag clouds. A font distribution algorithm has been proposed to calculate a novel metric based on frequency and content, and to classify among classes from this metric based on power law distribution and percentages. The suggested algorithm has been validated and verified on the tag cloud of a real-world thesis portal.

Keywords: Tag cloud, font distribution algorithm, frequency-based, content-based, power law.

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237 Identification of Configuration Space Singularities with Local Real Algebraic Geometry

Authors: Marc Diesse, Hochschule Heilbronn

Abstract:

We address the question of identifying the configuration space singularities of linkages, i.e., points where the configuration space is not locally a submanifold of Euclidean space. Because the configuration space cannot be smoothly parameterized at such points, these singularity types have a significantly negative impact on the kinematics of the linkage. It is known that Jacobian methods do not provide sufficient conditions for the existence of CS-singularities. Herein, we present several additional algebraic criteria that provide the sufficient conditions. Further, we use those criteria to analyze certain classes of planar linkages. These examples will also show how the presented criteria can be checked using algorithmic methods.

Keywords: Linkages, configuration space singularities, real algebraic geometry, analytic geometry, computer algebra.

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236 A Fuzzy Approach for Delay Proportion Differentiated Service

Authors: Mehran Garmehi, Yasser Mansouri

Abstract:

There are two paradigms proposed to provide QoS for Internet applications: Integrated service (IntServ) and Differentiated service (DiffServ).Intserv is not appropriate for large network like Internet. Because is very complex. Therefore, to reduce the complexity of QoS management, DiffServ was introduced to provide QoS within a domain using aggregation of flow and per- class service. In theses networks QoS between classes is constant and it allows low priority traffic to be effected from high priority traffic, which is not suitable. In this paper, we proposed a fuzzy controller, which reduced the effect of low priority class on higher priority ones. Our simulations shows that, our approach reduces the latency dependency of low priority class on higher priority ones, in an effective manner.

Keywords: QoS, Differentiated Service (DiffServ), FuzzyController, Delay.

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235 Parametric Primitives for Hand Gesture Recognition

Authors: Sanmohan Krüger, Volker Krüger

Abstract:

Imitation learning is considered to be an effective way of teaching humanoid robots and action recognition is the key step to imitation learning. In this paper an online algorithm to recognize parametric actions with object context is presented. Objects are key instruments in understanding an action when there is uncertainty. Ambiguities arising in similar actions can be resolved with objectn context. We classify actions according to the changes they make to the object space. Actions that produce the same state change in the object movement space are classified to belong to the same class. This allow us to define several classes of actions where members of each class are connected with a semantic interpretation.

Keywords: Parametric actions, Action primitives, Hand gesture recognition, Imitation learning

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234 The Use of Computer-Aided Design in Small Contractors in a Local Area of Korea

Authors: Myunghoun Jang

Abstract:

A survey of small-size contractors in Jeju was conducted to investigate college graduate's computer-aided design (CAD) competence. Most of small-size contractors use CAD software to review and update drawings submitted from an architect. This research analyzed the curriculum of the architectural engineering in several national universities. The CAD classes have 4 or 6 hours per week and use AutoCAD primarily. This paper proposes that a CAD class needs 6 hours per week, 2D drawing is the main theme in the curriculum, and exercises to make 3D models are also included in the CAD class. An improved method, for example Internet cafe and real time feedbacks using smartphones, to evaluate the reports and exercise results is necessary.

Keywords: Computer-aided design, CAD education, education improvement, small-size contractor.

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233 Sensitive Analysis of the ZF Model for ABC Multi Criteria Inventory Classification

Authors: Makram Ben Jeddou

Abstract:

ABC classification is widely used by managers for inventory control. The classical ABC classification is based on Pareto principle and according to the criterion of the annual use value only. Single criterion classification is often insufficient for a closely inventory control. Multi-criteria inventory classification models have been proposed by researchers in order to consider other important criteria. From these models, we will consider a specific model in order to make a sensitive analysis on the composite score calculated for each item. In fact, this score, based on a normalized average between a good and a bad optimized index, can affect the ABC-item classification. We will focus on items differently assigned to classes and then propose a classification compromise.

Keywords: ABC classification, Multi criteria inventory classification models, ZF-model.

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232 Image Similarity: A Genetic Algorithm Based Approach

Authors: R. C. Joshi, Shashikala Tapaswi

Abstract:

The paper proposes an approach using genetic algorithm for computing the region based image similarity. The image is denoted using a set of segmented regions reflecting color and texture properties of an image. An image is associated with a family of image features corresponding to the regions. The resemblance of two images is then defined as the overall similarity between two families of image features, and quantified by a similarity measure, which integrates properties of all the regions in the images. A genetic algorithm is applied to decide the most plausible matching. The performance of the proposed method is illustrated using examples from an image database of general-purpose images, and is shown to produce good results.

Keywords: Image Features, color descriptor, segmented classes, texture descriptors, genetic algorithm.

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231 Generic Multimedia Database Architecture

Authors: Mohib ur Rehman, Imran Ihsan, Mobin Uddin Ahmed, Nadeem Iftikhar, Muhammad Abdul Qadir

Abstract:

Multimedia, as it stands now is perhaps the most diverse and rich culture around the globe. One of the major needs of Multimedia is to have a single system that enables people to efficiently search through their multimedia catalogues. Many Domain Specific Systems and architectures have been proposed but up till now no generic and complete architecture is proposed. In this paper, we have suggested a generic architecture for Multimedia Database. The main strengths of our architecture besides being generic are Semantic Libraries to reduce semantic gap, levels of feature extraction for more specific and detailed feature extraction according to classes defined by prior level, and merging of two types of queries i.e. text and QBE (Query by Example) for more accurate yet detailed results.

Keywords: Multimedia Database Architecture, Semantics, Feature Extraction, Ontology.

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230 Waste-Based Surface Modification to Enhance Corrosion Resistance of Aluminium Bronze Alloy

Authors: Wilson Handoko, Farshid Pahlevani, Isha Singla, Himanish Kumar, Veena Sahajwalla

Abstract:

Aluminium bronze alloys are well known for their superior abrasion, tensile strength and non-magnetic properties, due to the co-presence of iron (Fe) and aluminium (Al) as alloying elements and have been commonly used in many industrial applications. However, continuous exposure to the marine environment will accelerate the risk of a tendency to Al bronze alloys parts failures. Although a higher level of corrosion resistance properties can be achieved by modifying its elemental composition, it will come at a price through the complex manufacturing process and increases the risk of reducing the ductility of Al bronze alloy. In this research, the use of ironmaking slag and waste plastic as the input source for surface modification of Al bronze alloy was implemented. Microstructural analysis conducted using polarised light microscopy and scanning electron microscopy (SEM) that is equipped with energy dispersive spectroscopy (EDS). An electrochemical corrosion test was carried out through Tafel polarisation method and calculation of protection efficiency against the base-material was determined. Results have indicated that uniform modified surface which is as the result of selective diffusion process, has enhanced corrosion resistance properties up to 12.67%. This approach has opened a new opportunity to access various industrial utilisations in commercial scale through minimising the dependency on natural resources by transforming waste sources into the protective coating in environmentally friendly and cost-effective ways.

Keywords: Aluminium bronze, waste-based surface modification, Tafel polarisation, corrosion resistance.

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229 Impact of Liquidity Crunch on Interbank Network

Authors: I. Lucas, N. Schomberg, F-A. Couturier

Abstract:

Most empirical studies have analyzed how liquidity risks faced by individual institutions turn into systemic risk. Recent banking crisis has highlighted the importance of grasping and controlling the systemic risk, and the acceptance by Central Banks to ease their monetary policies for saving default or illiquid banks. This last point shows that banks would pay less attention to liquidity risk which, in turn, can become a new important channel of loss. The financial regulation focuses on the most important and “systemic” banks in the global network. However, to quantify the expected loss associated with liquidity risk, it is worth to analyze sensitivity to this channel for the various elements of the global bank network. A small bank is not considered as potentially systemic; however the interaction of small banks all together can become a systemic element. This paper analyzes the impact of medium and small banks interaction on a set of banks which is considered as the core of the network. The proposed method uses the structure of agent-based model in a two-class environment. In first class, the data from actual balance sheets of 22 large and systemic banks (such as BNP Paribas or Barclays) are collected. In second one, to model a network as closely as possible to actual interbank market, 578 fictitious banks smaller than the ones belonging to first class have been split into two groups of small and medium ones. All banks are active on the European interbank network and have deposit and market activity. A simulation of 12 three month periods representing a midterm time interval three years is projected. In each period, there is a set of behavioral descriptions: repayment of matured loans, liquidation of deposits, income from securities, collection of new deposits, new demands of credit, and securities sale. The last two actions are part of refunding process developed in this paper. To strengthen reliability of proposed model, random parameters dynamics are managed with stochastic equations as rates the variations of which are generated by Vasicek model. The Central Bank is considered as the lender of last resort which allows banks to borrow at REPO rate and some ejection conditions of banks from the system are introduced.

Liquidity crunch due to exogenous crisis is simulated in the first class and the loss impact on other bank classes is analyzed though aggregate values representing the aggregate of loans and/or the aggregate of borrowing between classes. It is mainly shown that the three groups of European interbank network do not have the same response, and that intermediate banks are the most sensitive to liquidity risk.

Keywords: Systemic Risk, Financial Contagion, Liquidity Risk, Interbank Market, Network Model.

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