Title
Efficient Network Structures with Separable Heterogeneous Connection Costs.
Abstract
We introduce a heterogeneous connection model for network formation to capture the effect of cost heterogeneity on the structure of efficient networks. In the proposed model, connection costs are assumed to be separable, which means the total connection cost for each agent is uniquely proportional to its degree. For these sets of networks, we provide the analytical solution for the efficient network as a function of connection costs and benefits. We show that the efficient network exhibits a core–periphery structure. Moreover, for a given link density, we find a lower bound for the clustering coefficient of the efficient network, and compare it to that of the Erdős–Rényi random networks.
Year
DOI
Venue
2015
10.1016/j.econlet.2015.06.014
Economics Letters
Keywords
Field
DocType
D85
Network formation,Mathematical optimization,Upper and lower bounds,Separable space,Complex network,Clustering coefficient,Mathematics,Network structure
Journal
Volume
ISSN
Citations 
134
0165-1765
6
PageRank 
References 
Authors
0.58
4
3
Name
Order
Citations
PageRank
Babak Heydari110922.76
Mohsen Mosleh2212.39
Kia Dalili3243.51