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on Network Economics |
| By: | Corinne Autant-Bernard (CREUSET - Centre de Recherche Economique de l'Université de Saint-Etienne - [CNRS : FRE2938] - [Université Jean Monnet - Saint-Etienne]); Pascal Billand (CREUSET - Centre de Recherche Economique de l'Université de Saint-Etienne - [CNRS : FRE2938] - [Université Jean Monnet - Saint-Etienne]); Christophe Bravard (CREUSET - Centre de Recherche Economique de l'Université de Saint-Etienne - [CNRS : FRE2938] - [Université Jean Monnet - Saint-Etienne]); Nadine Massard (CREUSET - Centre de Recherche Economique de l'Université de Saint-Etienne - [CNRS : FRE2938] - [Université Jean Monnet - Saint-Etienne]) |
| Abstract: | Based on the research projects submitted to the 6th Framework Program of the European Union, this paper studies cooperative networks in micro and nanotechnologies. Our objective is twofold. First, using the statistical tools of the social network analysis, we characterise the structure of the R&D collaborations established between firms. Second, we investigate the determinants of this structure, by analysing the individual choices of cooperation. A binary choice model is used to put forward the existence of network effects alongside other microeconomic determinants of cooperation. Our findings suggest that network effects are present, so that probability of collaboration is influenced by each individual's position within the network. It seems that social distance matters more than geographical distance. We also provide some evidence that similar firms (in terms of research potential) are more likely to collaborate together |
| Keywords: | Network formation; R&D collaboration; Knowledge externalities; nanotechnologies |
| Date: | 2007–03–19 |
| URL: | http://d.repec.org/n?u=RePEc:hal:papers:ujm-00137238_v1&r=net |
| By: | Ricardo Flores-Fillol |
| Abstract: | This paper characterizes the equilibria in airline networks and their welfare implications in an unregulated environment. Competing airlines may adopt either fully-connected (FC) or hub-and-spoke (HS) network structures; and passengers exhibiting low brand loyalty to their preferred carrier choose an outside option to travel so that markets are partially served by airlines. In this context, carriers adopt hubbing strategies when costs are sufficiently low, and asymmetric equilibria where one carrier chooses a FC strategy and the other chooses a HS strategy may arise. Quite interestingly, flight frequency can become excessive under HS network configurations. |
| Keywords: | fully-connected networks; hub-and-spoke networks; brand loyalty; fully-served markets; partially-served markets |
| JEL: | L13 L2 L93 |
| Date: | 2007–03–19 |
| URL: | http://d.repec.org/n?u=RePEc:aub:autbar:683.07&r=net |
| By: | Feng Xie; David Levinson (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota) |
| Abstract: | This study explores the economic mechanisms behind the decline of a surface transportation network, based on the assumption that the decline phase is a spontaneous process driven by decentralized decisions of individual travelers and privatized links. A simulation model is developed with a degeneration process by which the weakest link is removed iteratively from the network. Experiments reveal how the economic efficiency of a network evolves during the degeneration process and suggest an “optimal†degenerated network could be derived during the decline phase in terms of maximizing total social welfare. Keywords: decline, transportation network, degeneration, welfare, accessibility |
| Keywords: | Networks, Transportation, Structure, Entropy, Pattern, Continuity |
| JEL: | R40 R42 R48 D10 D83 D85 O33 |
| Date: | 2007 |
| URL: | http://d.repec.org/n?u=RePEc:nex:wpaper:weakestlink&r=net |
| By: | Armstrong, Mark; Wright, Julian |
| Abstract: | We discuss policy towards mobile call termination, illustrated by the 2002 Competition Commission enquiry into the UK mobile market. We present a model of the mobile market which includes both fixed-to-mobile and mobile-to-mobile call termination. In broad terms, the former service is likely to involve monopoly pricing if left unchecked, while the latter service---if the termination charge is jointly chosen by networks---may provide the mobile sector with the means by which to relax competition. Competition is often relaxed by choosing a low mobile-to-mobile termination charge. If feasible, then, unregulated networks often wish to set different termination charges depending on whether traffic originates on the fixed or mobile network. By contrast, social optimality often requires that uniform termination charges be imposed. |
| Keywords: | Telecommunications; Regulation; Oligopoly; Call termination |
| JEL: | L96 L51 L41 |
| Date: | 2007–03–21 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:2344&r=net |
| By: | Wenling Chen; David Levinson (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota) |
| Abstract: | Computer simulation plays an increasingly important role in engineering education as a tool for enhancing classroom learning. This research investigates the efficacy of using simulation in teaching the topic of transportation network growth through an experiment conducted at the Civil Engineering Department of the University of Minnesota. In the experiment, a network growth simulator program (SONG) was incorporated into a senior/graduate class in transportation system analysis. Results of the experiment show that the use of SONG effectively enhanced students' learning in terms of helping students develop in-depth understanding about the development process of network patterns, and helped them develop some aspects of judgment, problem-solving, and decision-making skills. However the use of SONG may have been more effective had some other barriers to learning been overcome.</font></p> |
| Keywords: | Simulation, Engineering Education, and Transportation Network Growth . |
| JEL: | R40 R42 R48 A23 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:nex:wpaper:song&r=net |
| By: | David Levinson (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota); Wei Chen |
| Abstract: | Empirical data and statistical models are used to answer the question of where new highway routes are most likely to be located. High-quality land-use, population distribution and highway network GIS data for the Twin CitiesMetropolitan Area from 1958 to 1990 are developed for this study. The highway system is classified into three levels, Interstate highways, divided highways, andsecondary highways. Binary logit models estimate the new route growth probability of divided highways and secondary highways. Interstates, however,are not modeled here and are used as a predictor in modeling the growth of divided highways and secondary highways. The results show that the area's land-use attributes and population density level do have significant relationship with the area's likelihood of adding new highway routes. |
| Keywords: | network growth, hierarchy of roads, land-use, population, GIS. |
| JEL: | R41 R42 R48 O33 |
| Date: | 2007 |
| URL: | http://d.repec.org/n?u=RePEc:nex:wpaper:areabasednetworkgrowth&r=net |
| By: | Norah Montes de Oca; David Levinson (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota) |
| Abstract: | This paper presents a qualitative analysis of the decision-rules used by jurisdictions in Minnesota's Twin Cities metropolitan area. Interviews were conducted with staff at the city, county, metropolitan, and state levels to determine how decisions about road investment, expansion and new construction were made. Flowcharts were developed to provide a more systematic way of presenting that information. Most jurisdictions do not have extensive public participation processes, though several, notably the Metropolitan Council, Hennepin and Ramsey Counties and the City of Minneapolis do. Jurisdictions with public participation have the most formal and extensive documentation of their investment decision process. The decision factors vary by jurisdiction, though safety, capacity, and pavement quality were important throughout. |
| JEL: | R41 R42 R48 H40 |
| Date: | 2006 |
| URL: | http://d.repec.org/n?u=RePEc:nex:wpaper:decisionrules&r=net |