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Network Topology, Higher Orders Of Stability And Efficiency

Author

Listed:
  • SUBHADIP CHAKRABARTI

    (Queen's University Management School, Queen's University Belfast, Belfast, Northern Ireland, UK)

  • SUPANIT TANGSANGASAKSRI

    (Department of Economics, Thammasat University, Bangkok, Thailand)

Abstract

Stable networks of orderrwhereris a natural number refer to those networks that are immune to coalitional deviation of sizeror less. In this paper, we introduce stability of a finite order and examine its relation with efficient networks under anonymous and component additive value functions and the component-wise egalitarian allocation rule. In particular, we examine shapes of networks or network architectures that would resolve the conflict between stability and efficiency in the sense that if stable networks assume those shapes they would be efficient and if efficient networks assume those shapes, they would be stable with minimal further restrictions on value functions.

Suggested Citation

  • Subhadip Chakrabarti & Supanit Tangsangasaksri, 2014. "Network Topology, Higher Orders Of Stability And Efficiency," International Game Theory Review (IGTR), World Scientific Publishing Co. Pte. Ltd., vol. 16(04), pages 1-21.
    • Handle: RePEc:wsi:igtrxx:v:16:y:2014:i:04:n:s0219198914500108
    DOI: 10.1142/S0219198914500108
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    References listed on IDEAS

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    More about this item

    Keywords

    Stability of orderr; efficiency; network architecture; C62; C71;
    All these keywords.

    JEL classification:

    • B4 - Schools of Economic Thought and Methodology - - Economic Methodology
    • C0 - Mathematical and Quantitative Methods - - General
    • C6 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling
    • C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
    • D5 - Microeconomics - - General Equilibrium and Disequilibrium
    • D7 - Microeconomics - - Analysis of Collective Decision-Making
    • M2 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics

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