The determinants of individual behaviour in network formation

some experimental evidence

D. Di Cagno

E. Sciubba

pp. 219-241

in: Mohammed Abdellaoui, John D. Hey (eds), Advances in decision making under risk and uncertainty, Berlin, Springer, 2008

Abstract

The role of social networks in shaping economic outcomes has received increasing attention in recent years. Network externalities have been extensively studied both in industrial organisations and, more recently, within the theory of social capital and development economics. Most of this literature however takes the structure of the social network as given and analyses the consequences of network externalities on outcomes.¹