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Homophily and Transmission of Behavioral Traits in Social Networks

Author

Listed:
  • Palaash Bhargava

    (Columbia University)

  • Daniel L. Chen

    (Toulouse School of Economics)

  • Matthias Sutter

    (Max-Planck Institute for Research on Collective Goods Bonn, University of Cologne and University of Innsbruck IZA Bonn,CESifoMunich)

  • Camille Terrier

    (Queen Mary University London)

Abstract

Social networks are segmented on gender, ethnicity, and other demographic characteristics. We present evidence on an understudied source of homophily: behavioral traits. Based on unique data from incentivized experiments with more than 2,500 French high-school students, we find high levels of homophily across ten behavioral traits. Notably, homophily depends on similarities in demographic characteristics, in particular gender. Using network econometrics, we show that homophily is not only an outcome of endogenous network formation, but also driven by peer effects. The latter are larger when students share demographic characteristics, have longer periods of friendship, or are friends with more popular individuals.

Suggested Citation

  • Palaash Bhargava & Daniel L. Chen & Matthias Sutter & Camille Terrier, 2023. "Homophily and Transmission of Behavioral Traits in Social Networks," ECONtribute Discussion Papers Series 227, University of Bonn and University of Cologne, Germany.
    • Handle: RePEc:ajk:ajkdps:227
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    More about this item

    Keywords

    Homophily; social networks; behavioral traits; peer effects; experiments;
    All these keywords.

    JEL classification:

    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General

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