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Peer-induced beliefs regarding college participation

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  • Boucher, Vincent
  • Dedewanou, F. Antoine
  • Dufays, Arnaud

Abstract

We study the heterogeneity of peer effects on the formation of beliefs regarding college participation. We present a structural model of learning in friendship networks. We show that the model is identified and we present a Bayesian estimation procedure. We estimate the model using data on teenagers’ beliefs regarding college participation, controlling for preferences and academic achievement. While we find that, on average, friends’ beliefs account for about 8% of the updating process, we also find strong heterogeneity among schools and individuals. In particular, we find substantial unobserved individual heterogeneity (ranging from close to 0 to more than 75%), which casts doubt on the efficiency of network-targeted public policies.

Suggested Citation

  • Boucher, Vincent & Dedewanou, F. Antoine & Dufays, Arnaud, 2022. "Peer-induced beliefs regarding college participation," Economics of Education Review, Elsevier, vol. 90(C).
    • Handle: RePEc:eee:ecoedu:v:90:y:2022:i:c:s0272775722000802
    DOI: 10.1016/j.econedurev.2022.102307
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    More about this item

    Keywords

    Social networks; Beliefs updating; College participation; Heterogeneous peer effects;
    All these keywords.

    JEL classification:

    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • I20 - Health, Education, and Welfare - - Education - - - General
    • 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
    • C11 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Bayesian Analysis: General

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