Week 3 Flashcards
What is the difference between random and strategic networks?
How do we measure how optimal this network is per individual?
What is the connections model?
What is so special about the symmetric version of the connections model?
What concept do we use for an equilibrium?
What is the definition of Pareto efficiency in networks?
What is the definition for efficiency?
What are the three different efficient types of networks (of the connections model) that are efficient? When are they efficient?
Proof that a complete network is an efficient network for a low cost network using the connections model.
Proof that a star network is an efficient network when using the connections model for a medium cost network.
What are externalities? When are they positive or negative?
An externality is the impact on any other node except for the one making the choice.
What are transfers? Why are they used?
What are Egalitarian Transfers?
(see image). We could also add some basic requirements (e.g. completely isolated nodes get 0, nodes that are completely interchangeable get same transfers).
What is the Coauthor model? What are its features?
What is the Island Model? What are the features?
