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Networks and farsighted stability

By Frank H. Page, Myrna Holtz Wooders and Samir Kamat


The main contribution of this paper is to provide a framework in which the notion of farsighed stability for games, introduced by Chwe (1994) can be applied to directed networks. Then, using Chwe's basic result on the nonemptiness of farsightedly stable sets for games, we show that for any given collection of directed networks and any given collection of rules governing network formation, there exists a farsightedly stable directed network

Topics: HD, HM
Publisher: University of Warwick, Department of Economics
Year: 2001
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