We provide existence results in a game with local spillovers where the payoff function satisfies both convexity and the strategic substitutes property. We show that there always exists a stable pairwise network in this game, and provide a condition which ensures the existence of pairwise...

We examine the role of an environmental tax on R&D collaboration networks between firms in the context of developing cleaner production processes. First, we show that three types of innovation networks can emerge in equilibrium. Then, we examine the relationship between the environmental tax and...

We study the formation of mutual insurance networks in a model where every agent who obtains more resources gives a fixed amount of resources to all agents who have obtained less resources. The low resource agent must be directly linked to the high resource agent to receive this transfer. We...

We introduce a price oligopoly model with informed and uninformed consumers, thus creating a new channel of influence for collaborative R&D. Firms can establish pair-wise collaborative research links with other firms to lower production costs. Informed consumers buy from the lowest cost firms...

This paper introduces a partner heterogeneity assumption in the one-way flow model of Bala and Goyal (2000, [1]). Our goal consists in the characterization of strict Nash networks with regard to the set of resources obtained by players. We use the notion of condensation network which allows us...