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Definitions of Equilibrium in Network Formation Games

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Working paper
F. Bloch and M.O. Jackson
We examine a variety of stability and equilibrium definitions that have been used to study the formation of social networks among a group of players. In particular we compare variations on three types of definitions: those based on a pairwise stability notion, those based on the Nash equilibria of a link formation game, and those based on equilibria of a link formation game where transfers are possible.
Developed by Paolo Gittoi