This paper studies the formation of networks among individuals. The focus is on the compatibility of overall societal … subject, and also provides new results on the existence of pairwise-stable networks and the relationship between pairwise … stable and efficient networks in a variety of contexts and under several definitions of efficiency. …

We analyze the formation of networks among individuals. In particular, we examine the existence of networks that are … stable networks one can restrict focus on a component-wise egalitarian allocation of value. We show that when such strongly … stable networks exist they coincide with the set of efficient networks (those maximizing the total productive value). We show …

features that have been found to characterize large socially generated networks. Moreover, we derive the distribution of degree … lower tail may exhibit substantial curvature, just as in observed networks. We then fit the model to data from six networks …. Besides offering a close fit of these diverse networks, the model allows us to impute the relative importance of search versus …