IDEAS home Printed from https://ideas.repec.org/p/wpa/wuwpex/0407004.html
   My bibliography  Save this paper

A Laboratory Experiment of Knowledge Diffusion Dynamics

Author

Listed:
  • Piergiuseppe Morone

    (University of Rome 'La Sapienza')

  • Richard Taylor

    (Centre for Policy Modelling, Manchester Metropolitan University Business School)

Abstract

This paper aims to study, by means of a laboratory experiment and a simulation model, some of the mechanisms which dominate the phenomenon of knowledge diffusion in the process that is called ‘interactive learning’. We examine how knowledge spreads in different networks in which agents interact by word of mouth. We define a regular network, a randomly generated network and a small world network structured as graphs consisting of agents (vertices) and connections (edges), situated on a wrapped grid forming a lattice. The target of the paper is to identify the key factors which affect the speed and the distribution of knowledge diffusion. We will show how these factors can be classified as follow: (1) learning strategies adopted by heterogeneous agents; (2) network architecture within which the interaction takes place; (3) geographical distribution of agents and their relative initial levels of knowledge. We shall also attempt to single out the relative effect of each of the above factors.

Suggested Citation

  • Piergiuseppe Morone & Richard Taylor, 2004. "A Laboratory Experiment of Knowledge Diffusion Dynamics," Experimental 0407004, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpex:0407004
    Note: Type of Document - pdf; pages: 20
    as

    Download full text from publisher

    File URL: https://econwpa.ub.uni-muenchen.de/econ-wp/exp/papers/0407/0407004.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Edward L. Glaeser & Bruce Sacerdote & José A. Scheinkman, 1996. "Crime and Social Interactions," The Quarterly Journal of Economics, Oxford University Press, vol. 111(2), pages 507-548.
    2. Glenn Ellison, 2000. "Basins of Attraction, Long-Run Stochastic Stability, and the Speed of Step-by-Step Evolution," Review of Economic Studies, Oxford University Press, vol. 67(1), pages 17-45.
    3. Ellison, Glenn, 1993. "Learning, Local Interaction, and Coordination," Econometrica, Econometric Society, vol. 61(5), pages 1047-1071, September.
    4. Venkatesh Bala & Sanjeev Goyal, 1998. "Learning from Neighbours," Review of Economic Studies, Oxford University Press, vol. 65(3), pages 595-621.
    5. George A. Akerlof, 1997. "Social Distance and Social Decisions," Econometrica, Econometric Society, vol. 65(5), pages 1005-1028, September.
    6. William A. Brock & Steven N. Durlauf, 2001. "Discrete Choice with Social Interactions," Review of Economic Studies, Oxford University Press, vol. 68(2), pages 235-260.
    7. Boyan Jovanovic & Rafael Rob, 1989. "The Growth and Diffusion of Knowledge," Review of Economic Studies, Oxford University Press, vol. 56(4), pages 569-582.
    8. Cowan, Robin & Jonard, Nicolas, 2004. "Network structure and the diffusion of knowledge," Journal of Economic Dynamics and Control, Elsevier, vol. 28(8), pages 1557-1575, June.
    9. Ellison, Glenn & Fudenberg, Drew, 1993. "Rules of Thumb for Social Learning," Journal of Political Economy, University of Chicago Press, vol. 101(4), pages 612-643, August.
    10. Michael Suk-Young Chwe, 2000. "Communication and Coordination in Social Networks," Review of Economic Studies, Oxford University Press, vol. 67(1), pages 1-16.
    11. Bala, Venkatesh & Goyal, Sanjeev, 1995. "A Theory of Learning with Heterogeneous Agents," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 36(2), pages 303-323, May.
    12. Anderlini, Luca & Ianni, Antonella, 1996. "Path Dependence and Learning from Neighbors," Games and Economic Behavior, Elsevier, vol. 13(2), pages 141-177, April.
    13. Silverberg, Gerald & Dosi, Giovanni & Orsenigo, Luigi, 1988. "Innovation, Diversity and Diffusion: A Self-organisation Model," Economic Journal, Royal Economic Society, vol. 98(393), pages 1032-1054, December.
    14. Piergiuseppe Morone & Richard Taylor, 2004. "Small World Dynamics and The Process of Knowledge Diffusion: The Case of The Metropolitan Area of Greater Santiago De Chile," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 7(2), pages 1-5.
    15. Roland Benabou, 1993. "Workings of a City: Location, Education, and Production," The Quarterly Journal of Economics, Oxford University Press, vol. 108(3), pages 619-652.
    16. Berninghaus, Siegfried K. & Schwalbe, Ulrich, 1996. "Evolution, interaction, and Nash equilibria," Journal of Economic Behavior & Organization, Elsevier, vol. 29(1), pages 57-85, January.
    17. Daron Acemoglu & Joshua Angrist, 1999. "How Large are the Social Returns to Education? Evidence from Compulsory Schooling Laws," NBER Working Papers 7444, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Torben Klarl, 2014. "Knowledge diffusion and knowledge transfer revisited: two sides of the medal," Journal of Evolutionary Economics, Springer, vol. 24(4), pages 737-760, September.
    2. Michael P. Schlaile & Johannes Zeman & Matthias Mueller, 2021. "It’s a Match! Simulating Compatibility-based Learning in a Network of Networks," Economic Complexity and Evolution, in: Michael P. Schlaile (ed.), Memetics and Evolutionary Economics, chapter 0, pages 99-140, Springer.
    3. Bogner, Kristina, 2019. "Knowledge networks in the German bioeconomy: Network structure of publicly funded R&D networks," Hohenheim Discussion Papers in Business, Economics and Social Sciences 03-2019, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    4. Mueller, Matthias & Bogner, Kristina & Buchmann, Tobias & Kudic, Muhamed, 2015. "Simulating knowledge diffusion in four structurally distinct networks: An agent-based simulation model," Hohenheim Discussion Papers in Business, Economics and Social Sciences 05-2015, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    5. Matthias Mueller & Kristina Bogner & Tobias Buchmann & Muhamed Kudic, 2017. "The effect of structural disparities on knowledge diffusion in networks: an agent-based simulation model," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 12(3), pages 613-634, October.

    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. Opolot, Daniel & Azomahou, Theophile, 2012. "Learning and convergence in networks," MERIT Working Papers 2012-074, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    2. Jackson, Matthew O. & Zenou, Yves, 2015. "Games on Networks," Handbook of Game Theory with Economic Applications,, Elsevier.
    3. Yannis Ioannides, 2006. "Topologies of social interactions," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 28(3), pages 559-584, August.
    4. Sanjeev Goyal & Fernando Vega-Redondo, 2000. "Learning, Network Formation and Coordination," Econometric Society World Congress 2000 Contributed Papers 0113, Econometric Society.
    5. Giulio Zanella, 2004. "Discrete Choice with Social Interactions and Endogenous Memberships," Department of Economics University of Siena 442, Department of Economics, University of Siena.
    6. Charness, Gary & Corominas-Bosch, Margarida & Frechette, Guillaume R., 2007. "Bargaining and network structure: An experiment," Journal of Economic Theory, Elsevier, vol. 136(1), pages 28-65, September.
    7. Le Breton, Michel & Weber, Shlomo, 2009. "Existence of Pure Strategies Nash Equilibria in Social Interaction Games with Dyadic Externalities," CEPR Discussion Papers 7279, C.E.P.R. Discussion Papers.
    8. Bisin, Alberto & Horst, Ulrich & Ozgur, Onur, 2006. "Rational expectations equilibria of economies with local interactions," Journal of Economic Theory, Elsevier, vol. 127(1), pages 74-116, March.
    9. Alós-Ferrer, Carlos & Weidenholzer, Simon, 2014. "Imitation and the role of information in overcoming coordination failures," Games and Economic Behavior, Elsevier, vol. 87(C), pages 397-411.
    10. Azomahou, T. & Opolot, D., 2014. "Stability and strategic diffusion in networks," MERIT Working Papers 2014-035, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    11. Alós-Ferrer, Carlos & Weidenholzer, Simon, 2008. "Contagion and efficiency," Journal of Economic Theory, Elsevier, vol. 143(1), pages 251-274, November.
    12. Edward L. Glaeser & Jose Scheinkman, 2000. "Non-Market Interactions," NBER Working Papers 8053, National Bureau of Economic Research, Inc.
    13. Goyal, Sanjeev & Vega-Redondo, Fernando, 2005. "Network formation and social coordination," Games and Economic Behavior, Elsevier, vol. 50(2), pages 178-207, February.
    14. ÖZGÜR, Onur & BISIN, Alberto, 2011. "Dynamic Linear Economies with Social Interactions," Cahiers de recherche 04-2011, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
    15. Goyal, Sanjeev, 2003. "Learning in Networks: a survey," Economics Discussion Papers 9983, University of Essex, Department of Economics.
    16. Lorenzo Cassi & Lorenzo Zirulia, 2008. "The opportunity cost of social relations: On the effectiveness of small worlds," Journal of Evolutionary Economics, Springer, vol. 18(1), pages 77-101, February.
    17. Cowan, Robin & Jonard, Nicolas, 2004. "Network structure and the diffusion of knowledge," Journal of Economic Dynamics and Control, Elsevier, vol. 28(8), pages 1557-1575, June.
    18. Bramoulle, Yann, 2007. "Anti-coordination and social interactions," Games and Economic Behavior, Elsevier, vol. 58(1), pages 30-49, January.
    19. H Peyton Young, 2014. "The Evolution of Social Norms," Economics Series Working Papers 726, University of Oxford, Department of Economics.
    20. Steven N. Durlauf & Yannis M. Ioannides, 2010. "Social Interactions," Annual Review of Economics, Annual Reviews, vol. 2(1), pages 451-478, September.

    More about this item

    Keywords

    Knowledge; Network; Small world; Experiment; Simulation.;
    All these keywords.

    JEL classification:

    • C9 - Mathematical and Quantitative Methods - - Design of Experiments

    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:wpa:wuwpex:0407004. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://econwpa.ub.uni-muenchen.de .

    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: EconWPA (email available below). General contact details of provider: https://econwpa.ub.uni-muenchen.de .

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.