This paper investigates how quantity competition operates in economies in which a network describes the set of feasible … markups; and details negative effects on welfare of changes in the network structure. The main contributions show that goods …

This paper develops a formal model of exchange network stability that combines expected value theory (Friedkin 1995 …) with the economic literature on network dynamics. We identify stable networks up to size 8 for varying costs and … value theory …

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 …

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 …