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Understanding Social Interactions: Evidence from the Classroom

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  • Giacomo De Giorgi
  • Michele Pellizzari

Abstract

Little is known about the economic mechanisms leading to the high level of clustering in behavior commonly observed in the data. We present a model where agents can interact according to three distinct mechanisms, and we derive testable implications which allow us to distinguish between the proposed mechanisms. In our application we study students' performance and we find that a mutual insurance mechanism is consistent with the data. Such a result bears important policy implications for all those situations in which social interactions are important, from teamwork to class formation in education and co-authorship in academic research.

Suggested Citation

  • Giacomo De Giorgi & Michele Pellizzari, 2013. "Understanding Social Interactions: Evidence from the Classroom," NBER Working Papers 19202, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:19202
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    Citations

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    Cited by:

    1. Maria Masood, 2015. "Local versus Foreign: A Microeconomic Analysis of Cultural Preferences," Research Papers by the Institute of Economics and Econometrics, Geneva School of Economics and Management, University of Geneva 15051, Institut d'Economie et Econométrie, Université de Genève.
    2. Benjamin Elsner & Ingo E. Isphording, 2017. "A Big Fish in a Small Pond: Ability Rank and Human Capital Investment," Journal of Labor Economics, University of Chicago Press, vol. 35(3), pages 787-828.
    3. Edmark, Karin & Frölich, Markus & Wondratschek, Verena, 2014. "Sweden's school choice reform and equality of opportunity," Labour Economics, Elsevier, vol. 30(C), pages 129-142.
    4. Timothy Conley & Nirav Mehta & Ralph Stinebrickner & Todd Stinebrickner, 2015. "Social Interactions, Mechanisms, and Equilibrium: Evidence from a Model of Study Time and Academic Achievement," NBER Working Papers 21418, National Bureau of Economic Research, Inc.
    5. Anton Badev, 2014. "Discrete Games in Endogenous Networks: Theory and Policy," 2014 Meeting Papers 901, Society for Economic Dynamics.
    6. Marco Tonello, 2011. "Mechanisms of peer interactions between native and non-native students: rejection or integration?," Working Papers 2011/21, Institut d'Economia de Barcelona (IEB).
    7. De Giorgi, Giacomo & Frederiksen, Anders & Pistaferri, Luigi, 2016. "Consumption Network Effects," IZA Discussion Papers 9983, Institute for the Study of Labor (IZA).
    8. Bart H.H. Golsteyn & Arjan Non & Ulf Zölitz, 2017. "The impact of peer personality on academic achievement," ECON - Working Papers 269, Department of Economics - University of Zurich.
    9. Marco Tonello, 2016. "Peer effects of non-native students on natives’ educational outcomes: mechanisms and evidence," Empirical Economics, Springer, vol. 51(1), pages 383-414, August.
    10. Giacomo De Giorgi & Michele Pellizzari & Silvia Redaelli, 2010. "Identification of Social Interactions through Partially Overlapping Peer Groups," American Economic Journal: Applied Economics, American Economic Association, vol. 2(2), pages 241-275, April.
    11. Wang, Chunchao & Zhang, Chenglei & Ni, Jinlan, 2015. "Social network, intra-network education spillover effect and rural–urban migrants' wages: Evidence from China," China Economic Review, Elsevier, vol. 35(C), pages 156-168.
    12. ITOH Ryo & NAKAJIMA Kentaro, 2014. "Impact of Supply Chain Network Structure on FDI: Theory and evidence," Discussion papers 14027, Research Institute of Economy, Trade and Industry (RIETI).
    13. Lucifora, Claudio & Tonello, Marco, 2012. "Students' Cheating as a Social Interaction: Evidence from a Randomized Experiment in a National Evaluation Program," IZA Discussion Papers 6967, Institute for the Study of Labor (IZA).

    More about this item

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J0 - Labor and Demographic Economics - - General

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