Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
7242928 | Journal of Economic Behavior & Organization | 2015 | 48 Pages |
Abstract
We introduce two stability concepts and provide sufficient and necessary conditions on the network structure that guarantee existence, in cases of the absence of externalities, link-based externalities and crowding externalities. We show that institutional arrangements based on socioeconomic roles and leadership guarantee stability. In particular, the stability of more complex economic outcomes requires more strict and complex institutional rules to govern economic interactions. We investigate strict social hierarchies, tiered leadership structures and global market places.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Robert P. Gilles, Emiliya A. Lazarova, Pieter H.M. Ruys,