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Formation of a Communication Network Under Perfect Foresight

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Article
Author/s: 
Frédéric Deroïan
Theory and Decision
Issue number: 
3
Year: 
2006
Journal pages: 
191-204
We study the formation of a communication network under perfect foresight. We show the existence of a non-monotonic relationship between the cost of link formation and the total number of links created in stable networks. This result enhances a dilemma between stable and efficient networks.
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