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    Behavioral patterns in social networks

    Conte, A. and Di Cagno, D. and Sciubba, Emanuela (2015) Behavioral patterns in social networks. Economic Inquiry 53 (2), pp. 1331-1349. ISSN 0095-2583.

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    In this article, we focus on the analysis of individual decision-making for the formation of social networks, using experimentally generated data. We analyze the determinants of the individual demand for links under the assumption of agents' static expectations and identify patterns of behavior that correspond to three specific objectives: players propose links so as to maximize expected profits (myopic best response strategy); players attempt to establish the largest number of direct links (reciprocator strategy); and players maximize expected profits per direct link (opportunistic strategy). These strategies explain approximately 74% of the observed choices. We demonstrate that they are deliberately adopted and, by means of a finite mixture model, well identified and separated in our sample.


    Item Type: Article
    School: Birkbeck Schools and Departments > School of Business, Economics & Informatics > Economics, Mathematics and Statistics
    Depositing User: Administrator
    Date Deposited: 09 Mar 2015 14:41
    Last Modified: 09 Mar 2015 14:41


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