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Methods of Identification in Social Networks

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  • Bryan S. Graham

    (Department of Economics, University of California, Berkeley, California 94720-3888
    National Bureau of Economic Research, Cambridge, Massachusetts 02138)

Abstract

Social and economic networks are ubiquitous, serving as contexts for job search, technology diffusion, the accumulation of human capital, and even the formulation of norms and values. The systematic empirical study of network formation—the process by which agents form, maintain, and dissolve links—within economics is recent, is associated with extraordinarily challenging modeling and identification issues, and is an area of exciting new developments, with many open questions. This article reviews prominent research on the empirical analysis of network formation, with an emphasis on contributions made by economists.

Suggested Citation

  • Bryan S. Graham, 2015. "Methods of Identification in Social Networks," Annual Review of Economics, Annual Reviews, vol. 7(1), pages 465-485, August.
    • Handle: RePEc:anr:reveco:v:7:y:2015:p:465-485
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    More about this item

    Keywords

    strategic network formation; homophily; transitivity; heterogeneity; peer effects;
    All these keywords.

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions

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