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Jackson and Watts [J. of Econ. Theory 71 (2002), 44-74] have examined the dynamic formation and stochastic evolution of …. When a 1/2 -pairwise stable network exists, it is unique and it coincides with the unique stochastically stable network. To …/2 -pairwise stable set. Thus, any network outside the 1/2 -pairwise stable set must be considered as a non-robust network. We also …
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Jackson and Watts [J. of Econ. Theory 71 (2002), 44-74] have examined the dynamic formation and stochastic evolution of …. When a 1/2-pairwise stable network exists, it is unique and it coincides with the unique stochastically stable network. To …-pairwise stable set. The 1/2-pairwise stable set exists and is unique. Any stochastically stable network is included in the 1 …
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In a general model of trading networks with bilateral contracts, we propose a suitably adapted chain stability concept that plays the same role as pairwise stability in two-sided settings. We show that chain stability is equivalent to stability if all agents' preferences are jointly fully...
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