Dogan, Gönül; Assen, M.A.L.M. van; Rijt, Arnout van de; … - Fondazione ENI Enrico Mattei (FEEM) - 2007
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 investigate whether they are Pareto efficient and egalitarian....