The Stability of Banking System with Shadow Banking on Different Interbank Network Structures

Table 1

Benchmark parameter of the model.

Parameter	Description	Benchmark value
	The total number of banks	400
	The number of traditional banks	100
	The number of shadow banks	300
	Connection probability	0.03
	Nearest neighbours for each bank	2
	Probability of reconnect one endpoints of each edge	0.02
	Number of independent banks started	50
	Edges of a new bank	2
	The maximum number of traditional banks that can be borrowed by a shadow bank	3
	Initial investment	500
	Investment periods	3
	Deposit ratio	0.3
	Average investment opportunities	500
	Return on investment (ROI)	0.045
	Investment recovery probability	0.85
	Investment volatility	0.35
	Average deposit	1000
	Deposit volatility	0.25
	Deposit interest rate	0.004
	Interbank market interest rate	0.008
	Deposit reserve ratio	0.35