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This paper investigates opinion dynamics and social influence in directed communication networks. We study the theoretical properties of a boundedly rational model of opinion formation in which individuals aggregate the information they receive from their neighbors by using weights that are a...
Persistent link: https://www.econbiz.de/10010510796
In this paper we test the celebrated `Strength of weak ties' theory of Granovetter (1973). We test two hypotheses on …
Persistent link: https://www.econbiz.de/10011348344
We develop a model where workers both choose their residential location (geographical space) and social interactions (social space). In equilibrium, we show under which condition the majority group resides close to the job center while the minority group lives far away from it. Even though the...
Persistent link: https://www.econbiz.de/10011476353
We develop a model where workers both choose their residential location (geographical space) and their social interactions (social space). In equilibrium, we show under which condition some individuals reside close to the job center while others live far away from it. Even though the two...
Persistent link: https://www.econbiz.de/10011294096
We develop a model where information about jobs is essentially obtained through friends and relatives, i.e. strong and weak ties. Workers commute to a business center to work and to interact with other people. We find that housing prices increase with the level of social interactions in the city...
Persistent link: https://www.econbiz.de/10003723933
We develop a model where information about jobs is essentially obtained through friends and relatives, i.e. strong and weak ties. Workers commute to a business center to work and to interact with other people. We find that housing prices increase with the level of social interactions in the city...
Persistent link: https://www.econbiz.de/10013130958
The existence of influence among participants on financial markets is affirmed by the theory of behavioural finance …
Persistent link: https://www.econbiz.de/10013137950
We develop a model where workers both choose their residential location (geographical space) and their social interactions (social space). In equilibrium, we show under which condition some individuals reside close to the job center while others live far away from it. Even though the two...
Persistent link: https://www.econbiz.de/10013016322
What is the mechanism that determines market prices of financial assets? The literature of modern finance theory … equity puzzle in this paper. The upcoming literature of behavioural finance theory loosens the restrictive assumptions of … modern finance theory in favour of the acceptance of an investor's irrationality. Many efforts have been undertaken so far to …
Persistent link: https://www.econbiz.de/10013147794
This paper proposes a tractable model that allows us to analyze how agents' perception of relationships with others determines the structures of networks. In our model, agents are endowed with their own multidimensional characteristics and their payoffs depend on the social distance between...
Persistent link: https://www.econbiz.de/10011705107