This paper studies fictitious play in networks of noncooperative two-person games. We show that continuous … convergence is 1/T, regardless of the size of the network. In contrast, arbitrary n-person zero-sum games with bilinear payoff … functions do not possess the continuous-time fictitious-play property. As extensions, we consider networks in which each …

This paper studies strategic savings and free-riding behaviours among ex- ante vulnerable firms in a fixed debt network … under linear and quadratic default punishment structures. We specifically pay attention to networks without ex-ante default …

We develop a new class of random-graph models for the statistical estimation of network formation---subgraph generated …) are generated and their union results in a network. We show that all SUGMs are identified and, further, establish the …-parameter SUGM matches basic patterns in observed networks more closely than four standard models (with many more dimensions): (i …

To study how economic fundamentals affect the formation of social networks, a model is needed that (i) has agents … to network formation in order to develop such a model. Agents spend costly resources to socialize. Their effort levels … friends is low, equilibrium networks can be either sparse or thick. But as soon as this value crosses a key threshold, the …

a model of cooperative network formation where the network is formed through the process of the coordination game being … played between multiple agents. Additionally, network effects are modeled in by the fact that the benefit to any agent from a … partner in that link. Within this framework, evolution of cooperative networks is analysed in the presence of altruistic …

network structure and we examine equilibrium selection. Specifically, actions are either strategic substitutes or strategic … complements, and participants have either complete or incomplete information about the structure of a random network. Since … networks, such as connectivity, clustering, and the degree of the players, help to predict informed behavior in the lab. People …

We experimentally study the emergence of networks under a known external threat. To be more specific, we deal with the … question if subjects in the role of a strategic Designer are able to form safe and efficient networks while facing a strategic … Adversary who is going to attack their networks. This investigation relates theoretical predictions by Dziubinski and Goyal …

We study a coordination game among agents on a network, who choose whether or not to take an action in an uncertain … coordination set if and only if the network is balanced, i.e., the average degree of each subnetwork is no larger than the average … degree of the network. Comparative statics exercises as well as welfare properties are investigated. In particular, we show …

distances in networks short. This paper proposes a parsimonious model of network formation with introductions and intermediation …High levels of clustering—the tendency for two nodes in a network to share a neighbor—are ubiquitous in economic and … social networks across different applications. In addition, many real-world networks show high payoffs for nodes that connect …