Strategic Network Formation Through an Intermediary

Provided by: International Joint Conferences on Artificial Intelligence (IJCAI)
Topic: Networking
Format: PDF
Settings in which independent self-interested agents form connections with each other are extremely common and are usually modeled using network formation games. In this paper, the authors study a natural extension of network formation games in which the nodes cannot form connections themselves, but instead must do it through an intermediary and must pay the intermediary to form these connections. The price charged by the intermediary is assumed to be determined by its operating costs, which in turn depend on the total amount of connections it facilitates.

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