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Clustering, Cooperation, and Search in Social Networks

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  • Fernando Vega-Redondo

    (Universidad de Alicante, Instituto Valenciano de Investigaciones Económicas, and University of Essex,)

  • Matteo Marsili

    (Abdus Salam International Centre for Theoretical Physics, Trieste,)

  • Frantisek Slanina

    (Institute of Physics, Academy of Sciences of the Czech Republic, Prague,)

Abstract

The paper discusses the important role of clustering in the evolution of social networks, as it affects not only the incentives of players to cooperate but also their ability to search for fresh opportunities. Depending on the volatility of the environment and the social convention in place, we show that network clustering endogenously adapts to achieve and maintain, to the extent possible, a state of high social connectivity in the long run. (JEL: C71, D83, D85) Copyright (c) 2005 The European Economic Association.

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Bibliographic Info

Article provided by MIT Press in its journal Journal of the European Economic Association.

Volume (Year): 3 (2005)
Issue (Month): 2-3 (04/05)
Pages: 628-638

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Handle: RePEc:tpr:jeurec:v:3:y:2005:i:2-3:p:628-638

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Cited by:
  1. Mengel, Friederike, 2007. "Conformism and Cooperation in a Local Interaction Model," MPRA Paper 4051, University Library of Munich, Germany.
  2. Markus Kinateder, 2008. "Repeated Games Played in a Network," Working Papers 2008.22, Fondazione Eni Enrico Mattei.
  3. Desiree A. Desierto, 2008. "The Dynamics of Economic Integration," DEGIT Conference Papers c013_029, DEGIT, Dynamics, Economic Growth, and International Trade.

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