Strategic hiding and exploration in networks

Abstract

We propose and study a model of strategic network design and exploration where the hider, subject to a budget constraint restricting the number of links, chooses a connected network and the location of an object. Meanwhile, the seeker, not observing the network and the location of the object, chooses a network exploration strategy starting at a fixed node in the network. The network exploration follows the expanding search paradigm of Alpern and Lidbetter (2013). We obtain a Nash equilibrium and characterize equilibrium payoffs in the case of linking budget allowing for trees only. We also give an upper bound on the expected number of steps needed to find the hider for the case where the linking budget allows for at most one cycle in the network.