Specification and Estimation of Network Formation and Network Interaction Models with the Exponential Probability Distribution-厦门大学金融系

Specification and Estimation of Network Formation and Network Interaction Models with the Exponential Probability Distribution
主讲人 Chih-Sheng Hsieh 简介 <div>Abstract:</div> <div>In this paper, we model network formation and network interactions under a unified framework.</div> <div>The key feature of our model is to allow individuals to respond to incentives stemming</div> <div>from interaction benefits on certain activities when they are choosing friends (network links).</div> <div>There are two advantages of this modeling approach: first, one can evaluate whether incentives</div> <div>from certain interactions are important factors for friendship formation or not. Second,</div> <div>possible friendship selection bias on network interactions can be corrected as the network</div> <div>formation is explicitly modeled. The proposed model is estimated by the Bayesian method.</div> <div>In the empirical study, we apply the model to American high school students' friendship</div> <div>networks in the Add Health dataset. From two activity variables which are considered in the</div> <div>paper -- GPA and smoking frequency, we find a significant incentive effect from GPA, but not</div> <div>from smoking, on friendship formation. These results suggest that the benefit of interactions</div> <div>in academic learning is an important factor for forming friendships, while the pleasure of</div> <div>smoking together is not. However, from the perspective of network interactions, both GPA</div> <div>and smoking frequency are subject to significant positive interaction (peer) effects.</div> <div>&nbsp;</div> <div><a href="/EventsMgr/Upload/File/2015/4/20150415040724475.pdf">Download the paper</a></div>
时间 2015-04-16(星期四)16:40-18:00 地点 N303 经济楼/Economics Building
讲座语言 English 主办单位 WISE-SOE
承办单位 类型 系列讲座
联系人信息 主持人 Xiaoyi Han
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主讲人简介 <p>Assistant Professor</p> <p>Department of Economics</p> <p>CUHK</p> <p><a href="http://www.econ.cuhk.edu.hk/dept/staffPersonal.php?st_id=cshsieh">Prof. Chih-Sheng Hsieh'Homepage</a></p> 期数 “WISE-SOE”高级经济学系列讲座2015春季学期第三讲(总第342讲)--应用微观领域
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