Article ID: | iaor20134253 |
Volume: | 75 |
Issue: | 2 |
Start Page Number: | 293 |
End Page Number: | 304 |
Publication Date: | Aug 2013 |
Journal: | Theory and Decision |
Authors: | Sarangi Sudipta, Billand Pascal, Bravard Christophe |
Keywords: | game theory |
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.