Myopic or farsighted? An experiment on network formation

Pairwise stability (Jackson and Wolinsky, 1996) is the standard stability concept in network formation. It assumes myopic behavior of the agents in the sense that they do not forecast how others might react to their actions. Assuming that agents are farsighted, related stability concepts have been proposed. We design a simple network formation experiment to test these theories. Our results provide support for farsighted stability and strongly reject the idea of myopic behavior.

MoreLess

Year of publication:	2011-02-01
Authors:	KIRCHSTEIGER, Georg ; MANTOVANI, Marco ; MAULEON, Ana ; VANNETELBOSCH, Vincent
Institutions:	Center for Operations Research and Econometrics (CORE), École des Sciences Économiques de Louvain
Subject:	Experiment \| myopic and farsighted stability and network formation

freely available

Full text |

More access options

Check Google Scholar

In German libraries (KVK)

I need help

More details

Extent:	application/pdf
Series:	CORE Discussion Papers.
Type of publication:	Book / Working Paper
Language:	English
Notes:	The text is part of a series UNIVERSITE CATHOLIQUE DE LOUVAIN, Center for Operations Research and Econometrics (CORE) Number 2011007
Classification:	C91 - Laboratory, Individual Behavior ; C92 - Laboratory; Group Behavior ; D85 - Network Formation
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10009002080