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Revealed Social Networks

Christopher P. Chambers, Yusufcan Masatlioglu, Christopher Turansick

arXiv 5 Jan 2025 · Theoretical Economics

arXiv:2501.02609 · PDF · DOI · OpenAlex · Extracted main text

Abstract

The linear-in-means model is the standard empirical model of peer effects. Using choice data and exogenous group variation, we first develop a revealed preference style test for the linear-in-means model. This test is formulated as a linear program and can be interpreted as a no money pump condition with an additional incentive compatibility constraint. We then study the identification properties of the linear-in-means model. A key takeaway from our analysis is that there is a close relationship between the dimension of the outcome variable and the identifiability of the model. Importantly, when the outcome variable is one-dimensional, failures of identification are generic. On the other hand, when the outcome variable is multi-dimensional, we provide natural conditions under which identification is generic.

Citation extraction

60
references
112
in-text mentions
60
distinct cited
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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
1Manski, C. F (1993) Identification of Endogenous Social Effects: The Reflection Problem1.000165100%
2Blume, L. E., W. A. Brock, S. N. Durlauf, and R. Jayaraman (2015) Linear Social Interactions Models0.92843100%
3De Paula, A., I. Rasul, and P. C. Souza (2024) Identifying network ties from panel data: Theory and an application to tax competition0.81142100%
4Lewbel, A., X. Qu, and X. Tang (2023) Social networks with unobserved links0.73732100%
5Ushchev, P. and Y. Zenou (2020) Social norms in networks0.73732100%
6Boucher, V. and B. Fortin (2016) Some challenges in the empirics of the effects of networks0.64422100%
7Bramoullé, Y., H. Djebbari, and B. Fortin (2009) Identification of peer effects through social networks0.64422100%
8Cerreia-Vioglio, S., D. Dillenberger, P. Ortoleva, and G. Riella (2019) Deliberately Stochastic0.64422100%
9Fudenberg, D., R. Iijima, and T. Strzalecki (2015) Stochastic choice and revealed perturbed utility0.64422100%
10Golub, B. and S. Morris (2020) Expectations, networks, and conventions0.64422100%

Showing the top 10 of 60 scored citations.