From Assortative to Dissortative Networks: The Role of Capacity Constraints

Yves Zenou, Michael Koenig and Claudio J. Tessone
Authors registered in the RePEc Author Service: Michael David König

No 8052, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: We consider a dynamic model of network formation where agents form and sever links based on the centrality of their potential partners. We show that the existence of capacity constrains in the amount of links an agent can maintain introduces a transition from dissortative to assortative networks. This effect can shed light on the distinction between technological and social networks as it gives a simple mechanism explaining how and why this transition occurs.

Keywords: Bonacich centrality; Nested split graphs; Network formation; Social interactions (search for similar items in EconPapers)
JEL-codes: A14 C63 D85 (search for similar items in EconPapers)
Date: 2010-10
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

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