We study a model in which heterogeneous agents first form a trading network where link formation is costless. Then, a seller and a buyer are randomly selected among the agents to bargain through a chain of intermediaries. We determine both the trading path and the allocation of the surplus among...

In this paper, we present a formal framework of possible network formations among immigrants. After arriving in the new country, one of the new immigrant’s important decisions is with whom to maintain a link in the foreign country. We find that the behavior of the first two immigrants affects...