Data/hora: 13/06/2024 09:52:36

Provedor de dados: 	31	
País: 	United States	
Título: 	In Search of Stars: Network Formation among Heterogeneous Agents	
Autores: 	Ule,   Aljaz; Goeree,   Jacob K.; Riedl,   Arno.	
Data: 	2007-07-27	
Ano: 	2007	
Palavras-chave: 	Network Formation; Experiment; Heterogeneity; Private Information; Institutional and Behavioral Economics; C72; C92; D82; D85.	
Resumo: 	This paper reports results from a laboratory experiment on network formation among heterogeneous agents. The experimental design extends the Bala-Goyal (2000) model of network formation with decay and two-way flow of benefits by allowing for agents with lower linking costs or higher benefits to others. Furthermore, agents' types may be common knowledge or private information. In all treatments, the (efficient) equilibrium network has a "star" structure. With homogeneous agents, equilibrium predictions fail completely. In contrast, with heterogeneous agents stars frequently occur, often with the high-value or low-cost agent in the center. Stars are not born but rather develop: with a high-value agent, the network's centrality, stability, and efficiency all increase over time. Probit estimations based on best-response behaviour and other-regarding preferences are used to analyze individual linking behavior. Our results suggest that heterogeneity is a major determinant for the predominance of star-like structures in real-life social networks.	
Tipo: 	Working or Discussion Paper	
Idioma: 	Inglês	
Identificador: 	26876

http://purl.umn.edu/9099	
Editor: 	AgEcon Search	
Relação: 	Fondazione Eni Enrico Mattei (FEEM)&gt;Coalition Theory Network Working Papers

CTN Nota di Lavoro 65.2007	
Formato: 	40

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