How Can Social Networks Ever Become Complex? Modelling the Emergence of Complex Networks from Local Social Exchanges

Small-world and power-law network structures have been prominently proposed as models of large networks. However, the assumptions of these models usually lack sociological grounding. We present a computational model grounded in social exchange theory. Agents search attractive exchange partners in a diverse population. Agent use simple decision heuristics, based on imperfect, local information. Computer simulations show that the topological structure of the emergent social network depends heavily upon two sets of conditions, harshness of the exchange game and learning capacities of the agents. Further analysis show that a combination of these conditions affects whether star-like, small-world or power-law structures emerge.