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The state in which economic agents find themselves depends on the states of the other individuals in the economy. This dependance may be direct or indirect and involves the network through which agents interact. This paperdescribes models which lie between two polar extremes. On the one hand th...
Persistent link: https://www.econbiz.de/10005779684
This paper analyses the evolution of trading relationships in a market in which trades take place bilaterally. Buyers reinforce their probability of visiting sellers as a function of the profitability of their past experience. Using the "mean field" approach it is shown that two distant types of...
Persistent link: https://www.econbiz.de/10005669421