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Autor:innen: 
Erscheinungsjahr: 
2017
Schriftenreihe/Nr.: 
Working Paper No. 222
Versionsangabe: 
Revised version, May 2017
Verlag: 
University of Zurich, Department of Economics, Zurich
Zusammenfassung: 
We analyze binary choice models in communication networks, in which both, the formation of links in the network as well as the action choices are endogenous. We provide a complete characterization of the equilibrium action choices and networks, where agents choose their strategies - actions and links - according to a perturbed best response update rule. We show that a threshold exists in the linking cost and the conformity parameter, giving rise to either a sparse or a densely connected communication network. Moreover, we show how the theoretical model can be efficiently estimated using cross sectional data on agents choices and their network of interactions.
Schlagwörter: 
Diffusion
technology adoption
networks
riots
protests
Arab spring
JEL: 
D74
D72
D71
D83
C72
Persistent Identifier der Erstveröffentlichung: 
Dokumentart: 
Working Paper

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