Buechel, Berno; Hellmann, Tim - Institut für Mathematische Wirtschaftsforschung, … - 2008
. We approach this gap by analyzing the role of positive and negative externalities of link formation. We find general … results that relate situations of positive externalities with stable networks that cannot be "too dense" in a well …-defined sense, while situations with negative externalities, tend to induce "too dense" networks. …