The present paper suggests a possible framework to analyze the impact of changes to the economic and social environment on the topology of networks formed. Economic (costs) and social (norms) constraints bind individuals in their ability to create ties with others. When global phenomena affect...

Favoritism is the act of offering jobs, contracts and resources to members of one’s social group in preference to outsiders. Favoritism is widely practiced and this motivates an exploration of its origins and economic consequences. Our main finding is that individuals have an interest to trade...

In an oligopoly, prior to choosing quantities/prices, each firm has an opportunity to form pair-wise collaborative links with other firms. These pair-wise links defines a collaboration network. We study stable and efficient networks under different types of market competition. We find that...