American Institute of Mathematical Sciences

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April  2016, 3(2): 191-216. doi: 10.3934/jdg.2016010

Conflict and segregation in networks: An experiment on the interplay between individual preferences and social influence

Lea Ellwardt 1, , Penélope Hernández 2, , Guillem Martínez-Cánovas 2, and  Manuel Muñoz-Herrera 2,

1. 

Institute of Sociology and Social Psychology, University of Cologne, Cologne, Germany
2. 

ERI-CES, Departamento de Análisis Económico, Universitat de Valencia, Avenida Los Naranjos s/n, Campus de Tarongers, Valencia, 46022, Spain, Spain, Spain

Received  February 2016 Revised  April 2016 Published  April 2016

We examine the interplay between a person's individual preference and the social influence others exert. We provide a model of network relationships with conflicting preferences, where individuals are better off coordinating with those around them, but where not all have a preference for the same action. We test our model in an experiment, varying the level of conflicting preferences between individuals. Our findings suggest that preferences are more salient than social influence, under conflicting preferences: subjects relate mainly with others who have the same preferences. This leads to two undesirable outcomes: network segregation and social inefficiency. The same force that helps people individually, hurts society.
Keywords: equilibrium selection., Heterogeneity, formation, social networks.
Mathematics Subject Classification: Primary: 91A90; Secondary: 91A4.
Citation: Lea Ellwardt, Penélope Hernández, Guillem Martínez-Cánovas, Manuel Muñoz-Herrera. Conflict and segregation in networks: An experiment on the interplay between individual preferences and social influence. Journal of Dynamics & Games, 2016, 3 (2) : 191-216. doi: 10.3934/jdg.2016010
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show all references

References:
[1]

The Quarterly Journal of Economics, 115 (2000), 715-753. doi: 10.1515/9781400834181.  Google Scholar

[2]

Journal of economic literature, 40 (2002), 1167-1201. doi: 10.1257/.40.4.1167.  Google Scholar

[3]

The Journal of Economic Perspectives, 19 (2005), 9-32. doi: 10.1257/0895330053147930.  Google Scholar

[4]

Princeton University Press, 2010. Google Scholar

[5]

Econometrica, 68 (2000), 1181-1229. doi: 10.1111/1468-0262.00155.  Google Scholar

[6]

Econometrica, 74 (2006), 1403-1417. doi: 10.1111/j.1468-0262.2006.00709.x.  Google Scholar

[7]

The American Economic Review, 96 (2006), 217-221. doi: 10.1257/000282806777212594.  Google Scholar

[8]

European Journal of Social Psychology, 3 (1973), 27-52. doi: 10.1002/ejsp.2420030103.  Google Scholar

[9]

Psychological bulletin, 86 (1979), 307-324. doi: 10.1037/0033-2909.86.2.307.  Google Scholar

[10]

International Journal of Game Theory, 38 (2009), 51-79. doi: 10.1007/s00182-008-0140-7.  Google Scholar

[11]

Princeton University Press, 2003. Google Scholar

[12]

G. Charness, L. Rigotti and A. Rustichini, Individual behavior and group membership,, The American Economic Review, (): 1340.  doi: 10.2139/ssrn.894685.  Google Scholar

[13]

The American Economic Review, 99 (2009), 431-457. doi: 10.1257/aer.99.1.431.  Google Scholar

[14]

Econometrica, 61 (1993), 1047-1071. doi: 10.2307/2951493.  Google Scholar

[15]

Journal of Economic Perspectives, 10 (1996), 103-118. doi: 10.1257/jep.10.3.103.  Google Scholar

[16]

Experimental economics, 10 (2007), 171-178. doi: 10.1007/s10683-006-9159-4.  Google Scholar

[17]

Review of Economic Studies, 77 (2010), 218-244. doi: 10.1111/j.1467-937X.2009.00570.x.  Google Scholar

[18]

The American economic review, 96 (2006), 212-216. doi: 10.1257/000282806777211658.  Google Scholar

[19]

Princeton University Press, 2007.  Google Scholar

[20]

American journal of sociology, 83 (1978), 1420-1443. doi: 10.1086/226707.  Google Scholar

[21]

Games and Economic Behavior, 79 (2013), p56. doi: 10.1016/j.geb.2013.01.004.  Google Scholar

[22]

Group Formation in Economics: Networks, Clubs, and Coalitions, (2010), 11-57. doi: 10.1017/CBO9780511614385.002.  Google Scholar

[23]

Annu. Rev. Econ., 1 (2009), 489-511. doi: 10.1146/annurev.economics.050708.143238.  Google Scholar

[24]

Princeton University Press, 2008.  Google Scholar

[25]

M. O. Jackson and A. Watts, The existence of pairwise stable networks,, Seoul Journal of Economics., ().   Google Scholar

[26]

Games and Economic Behavior, 41 (2002), 265-291. doi: 10.1016/S0899-8256(02)00504-3.  Google Scholar

[27]

Journal of economic theory, 71 (1996), 44-74. doi: 10.1006/jeth.1996.0108.  Google Scholar

[28]

Econometrica: Journal of the Econometric Society, 61 (1993), 29-56. doi: 10.2307/2951777.  Google Scholar

[29]

Journal of Experimental Social Psychology, 37 (2001), 468-485. doi: 10.1006/jesp.2001.1475.  Google Scholar

[30]

International Journal of Game Theory, 34 (2006), 371-381. doi: 10.1007/s00182-006-0026-5.  Google Scholar

[31]

P. V. Marsden, Network diversity, substructures, and opportunities for contact,, Structures of power and constraint: Papers in honor of Peter Blau, (): 397.   Google Scholar

[32]

Annual review of sociology, 27 (2001), 415-444. doi: 10.1146/annurev.soc.27.1.415.  Google Scholar

[33]

The Review of Economic Studies, 67 (2000), 57-78. doi: 10.1111/1467-937X.00121.  Google Scholar

[34]

European Journal of Social Psychology, 22 (1992), 103-122. doi: 10.1002/ejsp.2420220202.  Google Scholar

[35]

M. Muñoz-Herrera, J. Dijkstra, A. Flache and R. Wittek, How specialization can breed social exclusion: A model of strategic interaction between pecialists and generalists in knowledge-intensive productive exchange,, Working Paper, ().   Google Scholar

[36]

New York: WW Norton, 1978. Google Scholar

[37]

2nd edition, London: Sage, 2012.  Google Scholar

[38]

The social psychology of intergroup relations, 33 (1979), p47. Google Scholar

[39]

J. C. Turner, Social categorization and social discrimination in the minimal group paradigm,, Differentiation between social groups: Studies in the social psychology of intergroup relations, (): 101.   Google Scholar

[40]

Basil Blackwell, 1987. Google Scholar

[41]

Cambridge Univ Pr, 2007. doi: 10.1017/CBO9780511804052.  Google Scholar

[42]

Social Forces, 56 (1977), 576-597. Google Scholar

[43]

International Journal of Industrial Organization, 23 (2005), 625-637. doi: 10.1016/j.ijindorg.2005.04.002.  Google Scholar

[44]

Econometrica: Journal of the Econometric Society, 61 (1993), 57-84. doi: 10.2307/2951778.  Google Scholar

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