Unstable diffusion in social networks

B-Tier
Journal: Journal of Economic Dynamics and Control
Year: 2023
Volume: 146
Issue: C

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

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

Abstract

How and to what extent will new activities spread through social ties? To answer this question, we present an analytical framework that allows us to describe the diffusion dynamics on complex networks more accurately than the conventional mean-field approach. Based on two classes of network games, we find that the spread of multiple activities is expressed as a saddle path, and thus, inherently unstable. In particular, when the two activities are sufficiently substitutable, either of them will dominate the other by chance even if they are equally attractive ex ante. We argue that, in environments where such symmetry-breaking occurs, any average-based approximation method may not correctly capture the Nash equilibrium — the steady state of an actual diffusion process.

Technical Details

RePEc Handle
repec:eee:dyncon:v:146:y:2023:i:c:s0165188922002640
Journal Field
Macro
Author Count
3
Added to Database
2026-01-25