IDEAS home Printed from https://ideas.repec.org/p/hal/journl/halshs-04004532.html
   My bibliography  Save this paper

Equilibria in Models of Binary Choice with Heterogeneous Agents and Social Influence

Author

Listed:
  • Denis Phan

    (GEMASS - Groupe d'Etude des Méthodes de l'Analyse Sociologique de la Sorbonne - FMSH - Fondation Maison des sciences de l'homme - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique, CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique)

  • Viktoriya Semeshenko

    (Departamento de Economía [Buenos Aires] - Facultad de Ciencias Económicas [Buenos Aires] - UBA - Universidad de Buenos Aires [Buenos Aires], TIMC-IMAG - Techniques de l'Ingénierie Médicale et de la Complexité - Informatique, Mathématiques et Applications, Grenoble - UMR 5525 - UJF - Université Joseph Fourier - Grenoble 1 - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - VAS - VetAgro Sup - Institut national d'enseignement supérieur et de recherche en alimentation, santé animale, sciences agronomiques et de l'environnement - CNRS - Centre National de la Recherche Scientifique)

Abstract

In this paper we explore the impact of social influence on the equilibria in the simplest model with binary choices. We investigate the interplay between social influence and individual decision to adopt with global interactions, both analytically in the case of an infinite number and numerically in the case of a finite number of agents. We derive exactly necessary and sufficient conditions for the existence of single or multiple equilibria as a function of the strength of social influence. In particular, this model encompasses the classical downward sloping demand curve as a particular case. The paper also provides a brief introduction to avalanches and hysteresis loops, and includes extensive bibliographical references.

Suggested Citation

  • Denis Phan & Viktoriya Semeshenko, 2008. "Equilibria in Models of Binary Choice with Heterogeneous Agents and Social Influence," Post-Print halshs-04004532, HAL.
    • Handle: RePEc:hal:journl:halshs-04004532
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    More about this item

    Keywords

    Binary Choice; Complex Systems; Heterogeneous Interacting Agents; Neighbourhood Effects; Social Influence.;
    All these keywords.

    JEL classification:

    • C62 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Existence and Stability Conditions of Equilibrium
    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:halshs-04004532. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.