The Economics of Networks

By Gisele Umbhauer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Part I : Interaction and Macro-Struture : an Overview Economies with Interacting Agents By Alan P. Kinnan (GREQUAM) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Spatial Interactions in Dynamic Decentralised Economies : a Review By Giorgio Fagiolo (EUI) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 Network, Interactions between Economic Agents and Irreversibilities : the Case of the Choice among Competing Technologies By Patrick Cohendet (BETA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93 Rationality and Heterogeneity in Stochastic Aggregation Models By Jean-Michel Dalle (IEPE) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123 Part II : Local Interaction, Learning and Diversity Networks Competition under Local Interaction and Behavioral Learning By Nicolas Jonard (BETA), Patrick Llerena (BETA) and Babak Mehm- pazir (BETA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 149 Can Neighborhood Protect Diversity By Gisele Umbhauer (BETA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 167 Interaction of Local Interactions: Localized Learning and Network Exter nalities By Nicolas Jonard (BETA) and Murat ytldlZoglu(BETA) . . . . . . . . . . . . 189 viii List of Contribution Evolution of Cooperation with Local Interactions and Imitation By Vanessa Oltra (BETA) and Eric Schenk (BETA) . . . . . . . . . . . . . . . . . . 205 On the Frontier: Structural Effects in a Diffusion Model based on Influence Matrixes By Alexandre Steyer (REC) and Jean-Benoit Zimmermann (GREQUAM) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 223 Part III : Behaviors, Externalities and the Emergence of Networks Networks, Specialization and Trust By Ehud Zuscovitch (BETA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 243 Network Externalities, Cost FUnctions and Standardization By Hubert Stahn (BETA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 265 The Emergence of Network Organizations in Processes of Technological Choice: a Viability Approach By Jean-Pierre Aubin (IIASA) and Dominique Foray (IRIS-TS) . . . . . . 283 Are more Informed Agents able to shatter Information Cascades in the Lab? By Marc Willinger (BETA) and Anthony Ziegelmeyer (BETA) . . . . . . .

Comprehensive presentation of the state of the art

G. Umbhauer: Introduction.- Interaction and Macro-Structure: an Overview: A. Kirman: Economies with Interacting Agents.- G. Fagiolo: Spatial Interactions in Dynamic Decentralised Economies: a Review.- P. Cohendet: Network, Interactions between Economic Agents and Irreversibilities: the Case of the Choice among Competing Technologies.- J.-M. Dalle: Rationality and Heterogeneity in Stochastic Aggregation Models.- Local Interaction, Learning and Diversity: N. Jonard, P. Llerena, B. Mehmanpazir: Networks Competition under Local Interaction and Behavioral Learning.- G. Umbhauer: Can Neighborhood Protect Diversity.- N. Jonard, M. Yildizoglu: Interaction of Local Interactions: Localized Learning and Network Externalities.- V. Oltra, E. Schenk: Evolution of Cooperation with Local Interactions and Imitation.- A. Steyer, J.-B. Zimmermann: On the Frontier: Structural Effects in a Diffusion Model based on Influence Matrixes.- Behaviors, Externalities and the Emergence of Networks: E. Zuscovitch: Networks, Specialization and Trust.- H. Stahn: Network Externalities, Cost Functions and Standardization.- J.-P. Aubin, D. Foray: The Emergence of Network Organizations in Processes of Technological Choice: a Viability Approach.- M. Willinger, A. Ziegelmeyer: Are more Informed Agents able to Shatter Information Cascades in the Lab?.- K. Bounmy, J.-C. Vergnaud, M. Willinger, A. Ziegelmeyer: Information Externalities and Learning with Sequential Interactions.- A. Orlean: The Evolution of Imitation.