A degree-distance-based connections model with negative and positive externalities
Moehlmeier P, Rusinowska A, Tanimura E (2013) Working Papers in Economics and Management; 11-2013.
Bielefeld: Bielefeld University, Department of Business Administration and Economics.
Download
Working Paper
| Published
| English
Author
Department
Abstract
We develop a modification of the connections model by Jackson and Wolinsky (1996)
that takes into account negative externalities arising from the connectivity of direct and indirect
neighbors, thus combining aspects of the connections model and the co-author model. We consider
a general functional form for agents’ utility that incorporates both the effects of distance and of
neighbors’ degree. Consequently, we introduce a framework that can be seen as a degree-distancebased
connections model with both negative and positive externalities. Our analysis shows how
the introduction of negative externalities modifies certain results about stability and efficiency
compared to the original connections model. In particular, we see the emergence of new stable
structures, such as a star with links between peripheral nodes. We also identify structures, for
example, certain disconnected networks, that are efficient in our model but which could not be
efficient in the original connections model. While our results are proved for the general utility
function, some of them are illustrated by using a specific functional form of the degree-distancebased
utility.
Keywords
Publishing Year
ISSN
PUB-ID
Cite this
Moehlmeier P, Rusinowska A, Tanimura E. A degree-distance-based connections model with negative and positive externalities. Working Papers in Economics and Management. Vol 11-2013. Bielefeld: Bielefeld University, Department of Business Administration and Economics; 2013.
Moehlmeier, P., Rusinowska, A., & Tanimura, E. (2013). A degree-distance-based connections model with negative and positive externalities (Working Papers in Economics and Management, 11-2013). Bielefeld: Bielefeld University, Department of Business Administration and Economics. doi:10.4119/unibi/2915402
Moehlmeier, P., Rusinowska, A., and Tanimura, E. (2013). A degree-distance-based connections model with negative and positive externalities. Working Papers in Economics and Management, 11-2013, Bielefeld: Bielefeld University, Department of Business Administration and Economics.
Moehlmeier, P., Rusinowska, A., & Tanimura, E., 2013. A degree-distance-based connections model with negative and positive externalities, Working Papers in Economics and Management, no.11-2013, Bielefeld: Bielefeld University, Department of Business Administration and Economics.
P. Moehlmeier, A. Rusinowska, and E. Tanimura, A degree-distance-based connections model with negative and positive externalities, Working Papers in Economics and Management, vol. 11-2013, Bielefeld: Bielefeld University, Department of Business Administration and Economics, 2013.
Moehlmeier, P., Rusinowska, A., Tanimura, E.: A degree-distance-based connections model with negative and positive externalities. Working Papers in Economics and Management, 11-2013. Bielefeld University, Department of Business Administration and Economics, Bielefeld (2013).
Moehlmeier, Philipp, Rusinowska, Agnieszka, and Tanimura, Emily. A degree-distance-based connections model with negative and positive externalities. Bielefeld: Bielefeld University, Department of Business Administration and Economics, 2013. Working Papers in Economics and Management. 11-2013.
All files available under the following license(s):
Copyright Statement:
This Item is protected by copyright and/or related rights. [...]
Main File(s)
File Name
wpaper_11_2013.pdf
302.67 KB
Access Level

Last Uploaded
2018-01-17T16:07:13Z
This data publication is cited in the following publications:
This publication cites the following data publications: