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Networks And Farsighted Stability

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  • Page Jr, Frank H
  • Wooders, Myrna H
  • Kamat, Samir

Abstract

The main contribution of this paper is to provide a framework in which the notion of farsighted stability for games, introduced by Chwe (1994), can be applied to direct networks. Then using Chwe's basic result on the nonemptiness of farsighted 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 farsighted stable directed network.

Suggested Citation

  • Page Jr, Frank H & Wooders, Myrna H & Kamat, Samir, 2001. "Networks And Farsighted Stability," The Warwick Economics Research Paper Series (TWERPS) 621, University of Warwick, Department of Economics.
    • Handle: RePEc:wrk:warwec:621
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    References listed on IDEAS

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    JEL classification:

    • C60 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - General

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