EconBase
← All papers

Testing for Externalities in Network Formation Using Simulation

Bryan S. Graham, Andrin Pelican

arXiv 31 Jul 2019 · Statistics — Methodology · 2 citations (OpenAlex)

arXiv:1908.00099 · PDF · DOI · OpenAlex · Extracted main text

Abstract

We discuss a simplified version of the testing problem considered by Pelican and Graham (2019): testing for interdependencies in preferences over links among N (possibly heterogeneous) agents in a network. We describe an exact test which conditions on a sufficient statistic for the nuisance parameter characterizing any agent-level heterogeneity. Employing an algorithm due to Blitzstein and Diaconis (2011), we show how to simulate the null distribution of the test statistic in order to estimate critical values and/or p-values. We illustrate our methods using the Nyakatoke risk-sharing network. We find that the transitivity of the Nyakatoke network far exceeds what can be explained by degree heterogeneity across households alone.

Citation extraction

31
references
60
in-text mentions
31
distinct cited
3
self-citations
8,790
main-text words

appendix boundary found by none_found · 100% of the source is main text. Read the extracted text to check this.

Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Blitzstein, J. & Diaconis, P (2011) A sequential importance sampling algorithm for generating random graphs with prescribed degrees1.000113100%
2Pelican, A. & Graham, B. S (2019) Testing for strategic interaction in social and economic network formation self1.00083100%
3De Weerdt, J (2004) Insurance Against Poverty, chapter Risk-sharing and endogenous network formation, (pp.\ 197 – 216)0.87462100%
4Cox, D. R (2006) Principles of Statistical Inference0.64422100%
5Graham, B. S (2017) An econometric model of network formation with degree heterogeneity self0.64422100%
6Jackson, M. O., Rodriguez-Barraquer, T., & Tan, X (2012) Social capital and social quilts: network patterns of favor exchange0.64422100%
7Bloch, F. & Jackson, M. O (2007) The formation of networks with transfers among players0.51121100%
8Chatterjee, S., Diaconis, P., & Sly, A (2011) Random graphs with a given degree sequence0.51121100%
9Snijders, T. A. B (1991) Enumeration and simulation methods for 0-1 matrices with given marginals0.51121100%
10Tarski, A (1955) A lattice-theoretical fixpoint theorem and its applications0.51121100%

Showing the top 10 of 31 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1A Pairwise Strategic Network Formation Model with Group Heterogeneity: With an Application to International Travel0.40511