KAMPHORST, JURJEN; LAAN, GERARD VAN DER - In: International Game Theory Review (IGTR) 09 (2007) 04, pp. 599-635
It is widely recognized that the shape of networks influences both individual and aggregate behavior. This raises the question which types of networks are likely to arise. In this paper we investigate a model of network formation, where players are divided into groups and the costs of a link...