Resilience by Structural Entrenchment: Dynamics of Single-Layer and Multiplex Networks Following Sudden Changes to Tie Costs

TL;DR

This paper explores how sudden changes in tie costs affect the structure and evolution of single-layer and multiplex networks, emphasizing the concept of structural entrenchment and path dependence.

Contribution

It introduces a model demonstrating how historical network features persist despite changes in tie costs, revealing insights into network resilience and path dependence.

Findings

Structural entrenchment leads to retention of network features.

Shocks to tie costs influence network evolution but do not erase existing structures.

Path dependence significantly impacts network dynamics.

Abstract

We examine a model of network formation in single-layer and multiplex networks in which individuals have positive incentives for social ties, closed triangles, and spillover edges. In particular, we investigate the influence of shocks to the network in which the cost of social ties changes after an initial equilibrium. We highlight the emergence of structural entrenchment: the retention of structural features, such as closed triangles and spillover edges, which are formed under historically different conditions from those currently driving network evolution. This work has broad implications for understanding path dependence in the structure and dynamics of single-layer and multiplex networks.