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A tragedy of the commons appears when the users of a common resource have incentives to exploit it more than the socially efficient level. We analyze the situation when the tragedy of the commons is embedded in a network of users and sources. Users play a game of extractions, where they decide...
Persistent link: https://www.econbiz.de/10005423231
Suppose markets and firms are connected in a bi-partite network, where firms can only supply to the markets they are connected to. Firms compete a la Cournot and decide how much to supply to each market they have a link with. We assume that markets have linear demand functions and firms have...
Persistent link: https://www.econbiz.de/10005008039
a subset of Stable Equilibrium Configurations. The absorbing state networks lead, in most cases, to a frustrated hybrid …
Persistent link: https://www.econbiz.de/10008830115
Persistent link: https://www.econbiz.de/10005422759
We provide an example of an outcome game form with two players for which there is in an open set of utilities for both players such that, in each of the associated games, the set of mixed Nash equilibria induces a continuum of outcome distributions.
Persistent link: https://www.econbiz.de/10005789734
We introduce a matching model in which agents engage in joint ventures via multilateral contracts. This approach allows us to consider production complementarities previously outside the scope of matching theory. We show analogues of the first and second welfare theorems and, when agents'...
Persistent link: https://www.econbiz.de/10011189755
Abstract I model dynamic product design along price and non-price dimensions by a firm in a market with positive network externalities between consumers. In the case of a usage fee, I provide conditions under which the steady state (SS) is unique and show that the introductory price is negative...
Persistent link: https://www.econbiz.de/10010934839
optimal design of social networks like Facebook or Google+. We distinguish between unilateral and bilateral connections and …
Persistent link: https://www.econbiz.de/10010817258
Since the seminal contribution of Jackson & Wolinsky 1996 [A Strategic Model of Social and Economic Networks, JET 71 …, 44-74] it has been widely acknowledged that the formation of social networks exhibits a general conflict between … results that relate situations of positive externalities with stable networks that cannot be "too dense" in a well …
Persistent link: https://www.econbiz.de/10005002279
network position, it has not been explicitly studied which networks emerge if actors follow incentives for these two … for closeness are likely to reach networks with relatively low closeness and high betweenness, while this is the other way …
Persistent link: https://www.econbiz.de/10005002283