Hall-Like Transversal Stress and Sandpile Criticality on Real Production Networks
This paper develops a Hall-Sandpile model of economic instability that combines a Hall-like transversal stress mechanism with sandpile threshold dynamics on a real production-network substrate. In analogy with the physical Hall effect, where exposed flows under an external field generate stress in a transversal direction, we model economic shocks as fields that act on flow-intensive, low-redundancy, low-capacity nodes and produce systemic stress through a multiplicative conversion function. The accumulated stress drives a discrete toppling rule and an avalanche dynamics whose effective activation threshold declines with transversal exposure. The model is calibrated on annual World Input--...
| Authors | Diego Vallarino |
|---|---|
| Primary category | econ.EM |
| Published | 2 May 2026 |
| Last updated at source | 2 May 2026 |
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