particular, if the linking costs are not too low and not too high, at least one such network is pairwise stable. Moreover, in … explanation for many core-periphery structures observed in real life social networks. -- Network Formation ; Heterogeneity …

Two project leaders (or entrepreneurs) in a network, which captures social relations, recruit players in a strategic … observed by the involved agents. The set of pure strategy Sequential Equilibria is characterized by giving an algorithm that … selects one equilibrium at a time. An agent's expected payoff is related to his position in the network, though no centrality …

to address the following open question in the theory of social and economic network formation: given the rules of network … objectives here are to model the structure and strategy of interactions prevailing at any point in time as a directed network and … networks, and the trembles of nature, what network and coalitional dynamics are likely to emerge and persist. Our main …

We study two n-player sequential network formation games with externalities. Link formation is tied to simultaneous …. -- Efficiency ; Bargaining Protocol ; Counterproposals ; Network Formation ; Transfers ; Externalities ; Groups ; Coalitions …

In this paper we study the effects of institutional constraints on stability, efficiency and network formation. More … setting the part of the current network within each connected component of the cover is assumed to be common knowledge to all … players in that component. Based on this two-ingredient model, network and societal cover, we examine the impact of societal …