From Assortative to Dissortative Networks: The Role of Capacity Constraints

We consider a dynamic model of network formation where agents form and sever links based on the centrality of their potential partners. We show that the existence of capacity constrains in the amount of links an agent can maintain introduces a transition from dissortative to assortative networks. This effect can shed light on the distinction between technological and social networks as it gives a simple mechanism explaining how and why this transition occurs.

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Authors:	Michael D. K\"onig ; Tessone, Claudio J. ; Zenou, Yves
Institutions:	Department of Management, Technology and Economics (D-MTEC), Eidgenössische Technische Hochschule Zürich (ETHZ)
Subject:	Complex network \| centrality \| Capacity contraints

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Extent:	application/pdf
Series:	Working Papers.
Type of publication:	Book / Working Paper
Notes:	Number CCSS-10-012
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10011161424