Econometric analysis of production networks with dominant units

A-Tier
Journal: Journal of Econometrics
Year: 2020
Volume: 219
Issue: 2
Pages: 507-541

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper introduces the notions of strongly and weakly dominant units for networks, and shows that pervasiveness of shocks to a network is measured by the degree of dominance of its most pervasive unit; shown to be equivalent to the inverse of the shape parameter of the power law fitted to the network outdegrees. New cross-section and panel extremum estimators of the degree of dominance in networks are proposed, and their asymptotic properties investigated. The small sample properties of the proposed estimators are examined by Monte Carlo experiments, and their use is illustrated by an empirical application to US input–output tables.

Technical Details

RePEc Handle
repec:eee:econom:v:219:y:2020:i:2:p:507-541
Journal Field
Econometrics
Author Count
2
Added to Database
2026-01-29