What question did this study set out to answer?

The study aims to analyze systemic risk and contagion in China’s banking sector amidst evolving financial conditions.

Transfer entropy, multidimensional multiple correlation network, and risk contagion of bank capital shortage

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This analysis shows systemic risk factors influencing bank capital shortage, suggesting macroprudential policy enhancements.

The study aims to analyze systemic risk and contagion in China’s banking sector amidst evolving financial conditions.
Developed a measurement–network–identification framework using SRISK to evaluate systemic contributions
Constructed a multilayer contagion network integrating interbank lending, real estate, and equity markets
Employed Spatial Durbin panel models to distinguish direct effects from network spillovers
Expansion of off-balance-sheet activities increases interbank leverage and contagion risks
The contagion network demonstrates scale-free and small-world characteristics, robust to random shocks
Multiple-network centrality and capital adequacy elevate capital shortfall risk while specific factors mitigate it

Wei et al. (2026) studied this question.

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