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Local Spillovers, Convexity and the Strategic Substitutes Property in Networks

Abstract : We provide existence results in a game with local spillovers where the payoff function satisfies both convexity and the strategic substitutes property. We show that there always exists a stable pairwise network in this game, and provide a condition which ensures the existence of pairwise equilibrium networks. Moreover, our existence proof allows us to characterize a pairwise equilibrium of these networks.
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https://halshs.archives-ouvertes.fr/halshs-00574265
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Submitted on : Monday, March 7, 2011 - 3:46:55 PM
Last modification on : Thursday, April 30, 2020 - 3:12:05 PM
Long-term archiving on: : Saturday, December 3, 2016 - 4:31:33 AM

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  • HAL Id : halshs-00574265, version 1

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Pascal Billand, Christophe Bravard, Sudipta Sarangi. Local Spillovers, Convexity and the Strategic Substitutes Property in Networks. 2011. ⟨halshs-00574265⟩

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