Alliance Formation in a Multipolar World

Peter Devine, Sumit Joshi and Ahmed Mahmud (asaber1973@gmail.com)
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Ahmed Mahmud: Virginia Polytechnic Institute and State University

No 1071, Boston College Working Papers in Economics from Boston College Department of Economics

Abstract: We propose a multilayer network approach to alliance formation. In a signed affinity layer, agents are partitioned into clusters, with friendly relations within and hostile connections across clusters. Agents then form defensive collaborations in an alliance layer as follows: Agents in the same cluster form a nested split graph with degree inversely correlated to the level of hostility, and agents from disparate clusters with high-degree and low-hostility form cliques. Within cliques, agents from a cluster that is "intermediate" in terms of discord serve as a bridge to interconnect agents from more "extreme" clusters.

Keywords: Alliance formation; signed graphs; nested split graphs; pairwise stability; cliques (search for similar items in EconPapers)
JEL-codes: C72 D74 D85 (search for similar items in EconPapers)
Date: 2024-05-10
New Economics Papers: this item is included in nep-gth and nep-net
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Citations:

Forthcoming, Journal of Economic Behavior and Organization

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Journal Article: Alliance formation in a multipolar world (2024)
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