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Type | Working Paper |
Scope | Discipline-based scholarship |
Title | Diffusion of behavior in dynamic networks |
Organization Unit | |
Authors |
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Language |
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Institution | University of Zurich |
Series Name | Working paper series / Department of Economics |
Number | 222 |
ISSN | 1664-7041 |
Number of Pages | 19 |
Date | 2017 |
Abstract Text | We analyze binary choice models in communication networks, in which both, the formation of links in the network as well as the action choices are endogenous. We provide a complete characterization of the equilibrium action choices and networks, where agents choose their strategies – actions and links – according to a perturbed best response update rule. We show that a threshold exists in the linking cost and the conformity parameter, giving rise to either a sparse or a densely connected communication network. Moreover, we show how the theoretical model can be efficiently estimated using cross sectional data on agents choices and their network of interactions. |
Official URL | http://www.econ.uzh.ch/static/wp/econwp222.pdf |
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PDF File | Download from ZORA |
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Keywords | Diffusion, technology adoption, networks, riots, protests, Arab spring, Verbreitung, Innovationsbereitschaft, Aufstand, Arabischer Frühling, Entscheidungsmodell, Netzwerk, Verbreitung, Innovationsbereitschaft, Aufstand, Arabischer Frühling, Entscheidungsmodell |
Additional Information | Revised version |