Firm dynamics on a transaction network is considered from the standpoint of econophysics, agent-based simulations, and game theory. In this model, interacting firms rationally invest in a production facility to maximize net present value. We estimate parameters used in the model through...

Since social dilemmas among n-persons are often embedded in other types of social exchanges, the exclusion of defectors in social dilemmas from other exchanges functions as a costless selective incentive. Recently, such “linkage” has been considered as a promising solution to resolve the...