Stochastic network formation and homophily
Paolo Pin, Brian Rogers

TL;DR
This chapter explores how stochastic processes influence network formation and the role of homophily in shaping social and economic networks.
Contribution
It introduces a stochastic framework for understanding network formation and analyzes the impact of homophily on network structures.
Findings
Homophily significantly affects network topology.
Stochastic models capture diverse network formation dynamics.
Implications for economic and social network analysis.
Abstract
This is a chapter of the forthcoming Oxford Handbook on the Economics of Networks.
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Taxonomy
TopicsGame Theory and Applications · Game Theory and Voting Systems · Digital Platforms and Economics
