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A network social interaction model with heterogeneous links

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  • Zhou, Wenyu

Abstract

This article studies a network social interaction model with heterogeneous links. We show that the endogenous and exogenous social interaction effects as well as the strength of network links are identified under some mild conditions. We adopt the nonlinear least squares method to estimate the unknown parameters using data of a single network. We also investigate the finite sample performance of the estimation method through Monte Carlo simulations and apply the model to analyze an online social network.

Suggested Citation

  • Zhou, Wenyu, 2019. "A network social interaction model with heterogeneous links," Economics Letters, Elsevier, vol. 180(C), pages 50-53.
    • Handle: RePEc:eee:ecolet:v:180:y:2019:i:c:p:50-53
    DOI: 10.1016/j.econlet.2019.04.007
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    References listed on IDEAS

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    Cited by:

    1. de Paula, Aureo & Rasul, Imran & Souza, Pedro, 2018. "Identifying Network Ties from Panel Data: Theory and an Application to Tax Competition," CEPR Discussion Papers 12792, C.E.P.R. Discussion Papers.

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    More about this item

    Keywords

    Social interactions; Heterogeneous links; Nonlinear least squares;
    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

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