{"product_id":"advances-in-strategic-network-formation-preferences-centrality-and-externalities-von-berno-buchel","title":"Advances in Strategic Network Formation","description":"\u003cp\u003eImagine a world where everybody is calculative in building relationships. In this book I model such a scenario and ask how this behavior affects the structure of social networks. Applications include friendship networks, personal business networks, R\u0026amp;D collaborations, strategic alliances, and trade among countries. After discussing the formal modeling approach, I put a focus on two types of linking goals. One is the gain of access to information and support by having many other actors in close reach; the other one is the bargaining position that is attained by being a broker for others. It turns out that the interaction of two goals leads to non-trivial dynamics of the network structure. Moreover, it can be observed that a typical feature of friendship networks is destroyed by incentives for advantageous network positions. Finally, I turn to a focal problem in strategic network formation: there is a general conflict between stability, based on individual interest, and efficiency, based on collective welfare. I study the sources of inefficiency by analyzing the external effects of link formation.\u003c\/p\u003e\u003cdiv class=\"aw-variant-hidden-subtitle-div\" id=\"aw-variant-subtitle-9783838112176\"\u003e\u003ch3\u003ePreferences, Centrality, and Externalities\u003c\/h3\u003e\u003c\/div\u003e","brand":"Libri","offers":[{"title":"Softcover - 9783838112176","offer_id":39440638017629,"sku":"9783838112176","price":69.9,"currency_code":"EUR","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0940\/0622\/files\/1f9358b2-e30f-4d9e-998a-76deca48107b.jpg?v=1775623629","url":"https:\/\/shop.autorenwelt.de\/en\/products\/advances-in-strategic-network-formation-preferences-centrality-and-externalities-von-berno-buchel","provider":"Autorenwelt Shop","version":"1.0","type":"link"}