We prove that for generic network-formation games where players incur a strictly positive cost to propose links the number of Nash equilibria is finite. Furthermore all Nash equilibria are regular and, therefore, stable sets.
Costly Network Formation and Regular Equilibria
DE SINOPOLI, FRANCESCO;
2010-01-01
Abstract
We prove that for generic network-formation games where players incur a strictly positive cost to propose links the number of Nash equilibria is finite. Furthermore all Nash equilibria are regular and, therefore, stable sets.
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