A new paper was published by Dóra Longauer and Tamás Sebestyén in Szigma.
The paper examines the results of introducing the assumption of incomplete connectedness into classical monopolistic market model and, at the same time, allowing market actors to decide about their connections. The results show that both sellers' and buyers' decision on who to connect with naturally lead to the emergence of scale-free structures that characterize most of the real networks. Households prefer firms with low prices and firms that produce at lower marginal cost can form more connections with households