We develop a dynamic network formation model that can explain the observed nestedness in real-world networks. Links are formed on the basis of agents' centrality and have an exponentially distributed life time. We use stochastic stability to identify the networks to which the network formation...

Based on the empirical analysis of the dependency network in 18 Java projects, we develop a novel model of network growth which considersboth: an attachment mechanism and the addition of new nodes with a heterogeneous distribution of their initial degree, k₀. Empirically we find that the...

We study the evolution of networks when the creation and decay of links are based on the position of nodes in the network measured by their centrality. We show that the same network dynamics arises under various centrality measures, and solve analytically the network evolution. During the...

We develop an agent-based model to reproduce the process of link formation and to understand the effect of knowledge exchange in collaborative inter-firm networks of Research and Development (R&D) alliances. In our model, agents form links based on their previous alliance history and then...

We provide an overview and synthesis of the literatures analyzing games in which players are connected via a network structure. We discuss, in particular, the impact of the structure of the network on individuals' behaviors. We focus on game theoretic modeling, but also include some discussion...

We develop a network model of conflict in which players are involved in different battles. A negative shock in one locality affects the conflict in this locality but may also increase battles in path-connected localities depending on the location of the battle in the network and the strength of...

We propose a novel mechanism to facilitate understanding of systemic risk in financial markets. The literature on systemic risk has focused on two mechanisms, common shocks and domino-like sequential default. Our approach is a formal model that provides an intellectual combination of the two by...