We integrate individual power in groups into general equilibrium models with endogenous group formation. We distinguish … between formal power (the say in group decisions) and real power (utility gain from being in groups). Their values will be … determined as part of the equilibrium. We find that higher formal power does not necessarily translate into higher equilibrium …

Power is a core concept in the analysis and design of organisations. In this paper we consider positional power in … hierarchies. One of the problems with the extant literature on positional power in hierarchies is that it is mainly restricted to … the analysis of power in terms of the bare positions of the actors. While such an analysis informs us about the authority …