A network formation game for the emergence of hierarchies.

We propose a novel network formation game that explains the emergence of various hierarchical structures in groups where self-interested or utility-maximizing individuals decide to establish or severe relationships of authority or collaboration among themselves. We consider two settings: we first co...

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Bibliographic Details
Main Authors: Pedro Cisneros-Velarde, Francesco Bullo
Format: article
Language:EN
Published: Public Library of Science (PLoS) 2021
Subjects:
R
Q
Online Access:https://doaj.org/article/7af7b533ca8f4cb3887d8832b29dc470
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Summary:We propose a novel network formation game that explains the emergence of various hierarchical structures in groups where self-interested or utility-maximizing individuals decide to establish or severe relationships of authority or collaboration among themselves. We consider two settings: we first consider individuals who do not seek the other party's consent when establishing a relationship and then individuals who do. For both settings, we formally relate the emerged hierarchical structures with the novel inclusion of well-motivated hierarchy promoting terms in the individuals' utility functions. We first analyze the game via a static analysis and characterize all the hierarchical structures that can be formed as its solutions. We then consider the game played dynamically under stochastic interactions among individuals implementing better-response dynamics and analyze the nature of the converged networks.