The Spread of Free-Riding Behavior in a Social Network
AbstractWe propose a model where agents located in a social network decide whether or not to exert effort to provide a local public good. We assume that they have strong incentives to free-ride on their neighbors’ effort decisions. We characterize the equilibria of the induced game. We also study a mean-field dynamics in which agents choose in each period the best response to the last period's decisions of their neighbors. We characterize the fraction of free-riders in the stable state of such a dynamics and show how it depends on properties of the degree distribution. Eastern Economic Journal (2008) 34, 464–479. doi:10.1057/eej.2008.30
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Bibliographic InfoArticle provided by Palgrave Macmillan in its journal Eastern Economic Journal.
Volume (Year): 34 (2008)
Issue (Month): 4 ()
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Other versions of this item:
- Dunia Lopez Pintado, 2007. "The Spread of Free-Riding Behavior in a Social Network," UFAE and IAE Working Papers 718.07, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- C45 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Neural Networks and Related Topics
- C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
- D00 - Microeconomics - - General - - - General
- D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search, Learning, and Information
- D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
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- Luca Dall’Asta & Paolo Pin & Abolfazl Ramezanpour, 2011.
"Optimal Equilibria of the Best Shot Game,"
Journal of Public Economic Theory,
Association for Public Economic Theory, vol. 13(6), pages 885-901, December.
- Dunia López-Pintado, 2004.
"Diffusion In Complex Social Networks,"
Working Papers. Serie AD
2004-33, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
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