In a tournament, agents form coalitions, and the coalition with largest power wins the tournament. We introduce a new solution concept for the tournaments, called no threat equilibrium (NTE). NTE is a partition of the agents, where prudent and farsighted agents have no incentive to deviate....

This paper studies how market-supporting institutions affect non-market and market exchange. We develop a repeated-game model where individuals decide how much to invest in a network action (non-market) and in a market action. We show that when financial markets are well-developed and...

In the literature on housing market areas, different approaches can be found to defining them, for example, using travel-to-work areas and, more recently, making use of migration data. Here we propose a simple exercise to shed light on which approach performs better. Using regional data from...

Este trabajo investiga los incentivos que tienen organismos autorregulados (OA) para una regulación de calidad efectiva. Se plantea un análisis de agencia, según el cual dentro del OA existe un principal encargado de vigilar el cumplimiento de los estándares de calidad por parte de los...

This essay presents a literature review about residential segregation. Given the vast extension of it, the focus has been on those works that we have considered either more influential or with the potential to define the new trends of this kind of research. We have classified the literature into...

To shed light upon the forces driving Residential Segregation based on income is the aim of the present research. Using a rich micro-database from Santiago of Chile, a transparent methodology has been implemented for understanding the Santiago segregation pattern and the contributions of a set...

In this paper, we empirically investigate the relationship between ethnic segregation and social conflict. We argue that segregation can increase the collective articulation within groups and the difference between preferences, which can increase conflict intensity. Our focus is on ethnic...