Iimura, Masaki; Shichijo, Tatsuhiro; Hokari, Toru - In: Economics Bulletin 30 (2010) 1, pp. 650-657
Goyal and Joshi (2006, Int Econ Review) apply the notion of ``pairwise stable networks" introduced by Jackson and Wolinsky (1996, J Econ Theory) to a model of free trade network formation, and show that (i) every pairwise stable network is either complete or almost complete (with all countries...