IDEAS home Printed from https://ideas.repec.org/p/hal/wpaper/hal-01284994.html
   My bibliography  Save this paper

Introduction to network modeling using Exponential Random Graph models (ERGM)

Author

Listed:
  • Johannes van Der Pol

    (GREThA - Groupe de Recherche en Economie Théorique et Appliquée - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique)

Abstract

Exponential Family Random Graph Models (ERGM) are increasingly used in the study of social networks. These models are build to explain the global structure of a network while allowing inference on tie prediction on a micro level. The number of paper within economics is however limited. Applications for economics are however abundant. The aim of this document is to provide an explanation of the basic mechanics behind the models and provide a sample code (using R and the packages statnet and ergm) to operationalize and interpret results and analyze goodness of fit. After reading this paper the reader should be able to launch their own analysis.

Suggested Citation

  • Johannes van Der Pol, 2017. "Introduction to network modeling using Exponential Random Graph models (ERGM)," Working Papers hal-01284994, HAL.
    • Handle: RePEc:hal:wpaper:hal-01284994
    Note: View the original document on HAL open archive server: https://hal.science/hal-01284994v2
    as

    Download full text from publisher

    File URL: https://hal.science/hal-01284994v2/document
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Belongia, Michael T. & Ireland, Peter N., 2015. "A “Working” Solution To The Question Of Nominal Gdp Targeting," Macroeconomic Dynamics, Cambridge University Press, vol. 19(3), pages 508-534, April.
    2. Garry Robins & Philippa Pattison & Stanley Wasserman, 1999. "Logit models and logistic regressions for social networks: III. Valued relations," Psychometrika, Springer;The Psychometric Society, vol. 64(3), pages 371-394, September.
    3. K. Azim Özdemir & Mesut Saygılı, 2009. "Monetary Pressures and Inflation Dynamics in Turkey: Evidence from P-Star Model," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 45(6), pages 69-86, November.
    4. Garry Robins & Philippa Pattison & Peter Elliott, 2001. "Network models for social influence processes," Psychometrika, Springer;The Psychometric Society, vol. 66(2), pages 161-189, June.
    5. Tom Broekel & Matt� Hartog, 2013. "Explaining the Structure of Inter-Organizational Networks using Exponential Random Graph Models," Industry and Innovation, Taylor & Francis Journals, vol. 20(3), pages 277-295, April.
    6. Belke, Ansgar & Polleit, Thorsten, 2006. "Money and Swedish inflation," Journal of Policy Modeling, Elsevier, vol. 28(8), pages 931-942, November.
    7. Lomi, Alessandro & Fonti, Fabio, 2012. "Networks in markets and the propensity of companies to collaborate: An empirical test of three mechanisms," Economics Letters, Elsevier, vol. 114(2), pages 216-220.
    8. Ansgar Belke & Thorsten Polleit, 2006. "Money and Swedish Inflation Reconsidered," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 270/2006, Department of Economics, University of Hohenheim, Germany.
    9. Butts, Carter T., 2008. "network: A Package for Managing Relational Data in R," Journal of Statistical Software, Foundation for Open Access Statistics, vol. 24(i02).
    10. Price, Simon & Nasim, Anjum, 1998. "Modelling inflation and the demand for money in Pakistan; cointegration and the causal structure," Economic Modelling, Elsevier, vol. 16(1), pages 87-103, January.
    11. Stanley Wasserman & Philippa Pattison, 1996. "Logit models and logistic regressions for social networks: I. An introduction to Markov graphs andp," Psychometrika, Springer;The Psychometric Society, vol. 61(3), pages 401-425, September.
    12. Czudaj, Robert, 2011. "P-star in times of crisis - Forecasting inflation for the euro area," Economic Systems, Elsevier, vol. 35(3), pages 390-407, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Johannes VAN DER POL, 2016. "The modelling of networks using Exponential Random Graph Models: an introduction," Cahiers du GREThA (2007-2019) 2016-22, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    2. Johannes Pol, 2019. "Introduction to Network Modeling Using Exponential Random Graph Models (ERGM): Theory and an Application Using R-Project," Computational Economics, Springer;Society for Computational Economics, vol. 54(3), pages 845-875, October.
    3. Tomislav Globan & Vladimir Arčabić & Petar Sorić, 2016. "Inflation in New EU Member States: A Domestically or Externally Driven Phenomenon?," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 52(1), pages 154-168, January.
    4. Johan Koskinen & Peng Wang & Garry Robins & Philippa Pattison, 2018. "Outliers and Influential Observations in Exponential Random Graph Models," Psychometrika, Springer;The Psychometric Society, vol. 83(4), pages 809-830, December.
    5. Ashish Arora & Michelle Gittelman & Sarah Kaplan & John Lynch & Will Mitchell & Nicolaj Siggelkow & Ji Youn (Rose) Kim & Michael Howard & Emily Cox Pahnke & Warren Boeker, 2016. "Understanding network formation in strategy research: Exponential random graph models," Strategic Management Journal, Wiley Blackwell, vol. 37(1), pages 22-44, January.
    6. Manuel E. Sosa & Steven D. Eppinger & Craig M. Rowles, 2004. "The Misalignment of Product Architecture and Organizational Structure in Complex Product Development," Management Science, INFORMS, vol. 50(12), pages 1674-1689, December.
    7. Kumar, Saten & Webber, Don J. & Fargher, Scott, 2013. "Money demand stability: A case study of Nigeria," Journal of Policy Modeling, Elsevier, vol. 35(6), pages 978-991.
    8. Liu, Jie & Ge, Huilin, 2022. "Collaboration mechanisms and community detection of statisticians based on ERGMs and kNN-walktrap," Computational Statistics & Data Analysis, Elsevier, vol. 168(C).
    9. Krivitsky, Pavel N., 2017. "Using contrastive divergence to seed Monte Carlo MLE for exponential-family random graph models," Computational Statistics & Data Analysis, Elsevier, vol. 107(C), pages 149-161.
    10. Alessandro Lomi & Philippa Pattison, 2006. "Manufacturing Relations: An Empirical Study of the Organization of Production Across Multiple Networks," Organization Science, INFORMS, vol. 17(3), pages 313-332, June.
    11. Loening, Josef L. & Durevall, Dick & Ayalew Birru, Yohannes, 2009. "Inflation Dynamics and Food Prices in an Agricultural Economy: The Case of Ethiopia," Working Papers in Economics 347, University of Gothenburg, Department of Economics.
    12. El-Shagi, Makram & Giesen, Sebastian, 2013. "Money and inflation: Consequences of the recent monetary policy," Journal of Policy Modeling, Elsevier, vol. 35(4), pages 520-537.
    13. Pierre-Alexandre Balland & José Antonio Belso-Martínez & Andrea Morrison, 2014. "The Dynamics of Technical and Business Networks in Industrial Clusters: Embeddedness, status or proximity?," Papers in Evolutionary Economic Geography (PEEG) 1412, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Apr 2014.
    14. Chu-Shore, Jesse, 2010. "Homogenization and Specialization Effects of International Trade: Are Cultural Goods Exceptional?," World Development, Elsevier, vol. 38(1), pages 37-47, January.
    15. Durevall, Dick & Loening, Josef L. & Ayalew Birru, Yohannes, 2013. "Inflation dynamics and food prices in Ethiopia," Journal of Development Economics, Elsevier, vol. 104(C), pages 89-106.
    16. Ron Boschma & Pierre-Alexandre Balland & Mathijs de Vaan, 2014. "The formation of economic networks: a proximity approach," Chapters, in: André Torre & Frédéric Wallet (ed.), Regional Development and Proximity Relations, chapter 7, pages 243-266, Edward Elgar Publishing.
    17. Slobodan Kacanski & Dean Lusher, 2017. "The Application of Social Network Analysis to Accounting and Auditing," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 7(3), pages 182-197, July.
    18. Dick Durevall & Bo Sjö, 2012. "Working Paper 151 - The Dynamics of Inflation in Ethiopia and Kenya," Working Paper Series 400, African Development Bank.
    19. Biscarri, Javier Gómez & Moreno, Antonio & Gracia, Fernando Pérez de, 2010. "Money demand accommodation: Impact on macro-dynamics and policy consequences," Journal of Policy Modeling, Elsevier, vol. 32(1), pages 138-154, January.
    20. Yang, Zan & Wang, Songtao & Campbell, Robert, 2010. "Monetary policy and regional price boom in Sweden," Journal of Policy Modeling, Elsevier, vol. 32(6), pages 865-879, November.

    More about this item

    Keywords

    ERGM; Social and economic networks; Exponential Random Graph Model; P-star; Innovation networks;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:wpaper:hal-01284994. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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.