Endogenous efforts on communication networks under strategic complementarity
AbstractThis article explores individual incentives to produce information on communication networks. In our setting, efforts are strategic complements along communication paths with convex decay. We analyze Nash equilibria on a set of networks which are unambiguous in terms of centrality. We first characterize both dominant and dominated equilibria. Second, we examine the issue of social coordination in order to reduce the social dilemma.
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Date of creation: 17 Nov 2008
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Communication Network; Endogenous Efforts; Strategic Complements;
Other versions of this item:
- Mohamed Belhaj & Frédéric Deroian, 2010. "Endogenous effort in communication networks under strategic complementarity," International Journal of Game Theory, Springer, vol. 39(3), pages 391-408, July.
- D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
- C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-12-01 (All new papers)
- NEP-CSE-2008-12-01 (Economics of Strategic Management)
- NEP-GTH-2008-12-01 (Game Theory)
- NEP-ICT-2008-12-01 (Information & Communication Technologies)
- NEP-NET-2008-12-01 (Network Economics)
- NEP-SOC-2008-12-01 (Social Norms & Social Capital)
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