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Economics: An Emerging Small World?

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Author Info
Sanjeev Goyal ()
Marco van der Leij ()
José Luis Moraga-González ()

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Abstract

This paper examines the small world hypothesis. The first part of the paper presents empirical evidence on the evolution of a particular world: the world of journal publishing economists during the period 1970-2000. We find that in the 1970's the world of economics was a collection of islands, with the largest island having about 15% of the population. Two decades later, in the 1990's, the world of economics was much more integrated, with the largest island covering close to half the population. At the same time, the distance between individuals on the largest island had fallen significantly. Thus we believe that economics is an emerging small world. What is it about the network structure that makes the world small? An exploration of the micro aspects of the network yields three findings: one, the average number of co-authors is very small but increasing; two, the distribution of co-authors is very unequal; and three, there exist a number of ‘stars’, individuals who have a large number of co-authors (25 times the average number) most of whom do not write with each other. Thus the economics world is a set of inter-connected stars. We take the view that individuals decide on whether to work alone or with others; this means that individual incentives should help us understand why the economics world has the structure it does. The second part of the paper develops a simple theoretical model of co-authorship. The main finding of the model is that in the presence of productivity differentials and a shortage of high-productivity individuals, inter-connected stars will arise naturally in equilibrium. Falling costs of communication and increasing credit for joint research leads to greater co-authorship and this is consistent with the growth in the size of the giant component.

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Paper provided by CESifo GmbH in its series CESifo Working Paper Series with number CESifo Working Paper No. 1287.

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Date of creation: 2004
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Handle: RePEc:ces:ceswps:_1287

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Find related papers by JEL classification:
A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics
D20 - Microeconomics - - Production and Organizations - - - General
J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
O30 - Economic Development, Technological Change, and Growth - - Technological Change - - - General

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. McDowell, John M & Melvin, Michael, 1983. "The Determinants of Co-Authorship: An Analysis of the Economics Literature," The Review of Economics and Statistics, MIT Press, vol. 65(1), pages 155-60, February. [Downloadable!] (restricted)
  2. Hudson, John, 1996. "Trends in Multi-authored Papers in Economics," Journal of Economic Perspectives, American Economic Association, vol. 10(3), pages 153-58, Summer. [Downloadable!] (restricted)
  3. David N. Laband & Robert D. Tollison, 2000. "Intellectual Collaboration," Journal of Political Economy, University of Chicago Press, vol. 108(3), pages 632-661, June. [Downloadable!] (restricted)
  4. Sanjeev Goyal, 2003. "Learning in Networks: a survey," Economics Discussion Papers 563, University of Essex, Department of Economics. [Downloadable!]
  5. Tanya S. Rosenblat & Markus M. Mobius, 2004. "Getting Closer or Drifting Apart?," The Quarterly Journal of Economics, MIT Press, vol. 119(3), pages 971-1009, August. [Downloadable!] (restricted)
  6. Venkatesh Bala & Sanjeev Goyal, 2000. "A Noncooperative Model of Network Formation," Econometrica, Econometric Society, vol. 68(5), pages 1181-1230, September.
  7. Ellison, Glenn & Fudenberg, Drew, 1993. "Rules of Thumb for Social Learning," Journal of Political Economy, University of Chicago Press, vol. 101(4), pages 612-43, August. [Downloadable!] (restricted)
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  8. Franklin Allen & Douglas Gale, 1998. "Financial Contagion Journal of Political Economy," Center for Financial Institutions Working Papers 98-31, Wharton School Center for Financial Institutions, University of Pennsylvania. [Downloadable!]
  9. Glenn Ellison, 2002. "The Slowdown of the Economics Publishing Process," Journal of Political Economy, University of Chicago Press, vol. 110(5), pages 947-993, October. [Downloadable!] (restricted)
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  10. Glaeser, Edward L & Sacerdote, Bruce & Scheinkman, Jose A, 1996. "Crime and Social Interactions," The Quarterly Journal of Economics, MIT Press, vol. 111(2), pages 507-48, May. [Downloadable!] (restricted)
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  11. Matthew O. Jackson, 2003. "A Survey of Models of Network Formation: Stability and Efficiency," Game Theory and Information 0303011, EconWPA. [Downloadable!]
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  12. Rachel E. Kranton & Deborah F. Minehart, 2001. "A Theory of Buyer-Seller Networks," American Economic Review, American Economic Association, vol. 91(3), pages 485-508, June. [Downloadable!] (restricted)
  13. Kaivan Munshi, 2003. "Networks In The Modern Economy: Mexican Migrants In The U.S. Labor Market," The Quarterly Journal of Economics, MIT Press, vol. 118(2), pages 549-599, May. [Downloadable!] (restricted)
  14. repec:att:wimass:199612r is not listed on IDEAS
  15. Bala, Venkatesh & Goyal, Sanjeev, 1998. "Learning from Neighbours," Review of Economic Studies, Blackwell Publishing, vol. 65(3), pages 595-621, July. [Downloadable!] (restricted)
  16. Glenn Ellison, 2000. "Evolving Standards for Academic Publishing: A q-r Theory," NBER Working Papers 7805, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  17. Daniel S. Hamermesh & Sharon M. Oster, 2002. "Tools or Toys? The Impact of High Technology on Scholarly Productivity," Economic Inquiry, Oxford University Press, vol. 40(4), pages 539-555, October.
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