2014

Endogenous Peer Effects: Local Aggregate or Local Average?

Reprint No. 2014:34

Author(s): Xiaodong Liu, Eleonora Patacchini and Yves ZenouYear: 2014 Title: Journal of Economic Behavior & Organization Volume (No.): 103 (July) Pages: 39–59
Online article (restrictions may apply)

We develop a unified model embedding different behavioral mechanisms of social interac-tions and design a statistical model selection test to differentiate between them in empiricalapplications. This framework is applied to study peer effects in education (effort in study-ing) and sport activities for adolescents in the United States. We find that, for education,students tend to conform to the social norm of their friends while, for sport activities, boththe social multiplier and the social norm effect matter.

Reference:
Liu, Xiaodong, Eleonora Patacchini and Yves Zenou (2014), "Endogenous Peer Effects: Local Aggregate or Local Average?". Journal of Economic Behavior & Organization 103(July), 39–59.

Yves Zenou

Contact

yves.zenou@ifn.se

Elgar Companion to

Social Capital and Health

Martin Ljunge okt 2018.jpg

Martin Ljunge, IFN, is the author of a chapter, "Trust promotes health: addressing reverse causality by studying children of immigrants", in a new book edited by Sherman Folland and Eric Nauenberg. The cutting edge of research is presented, covering the ever-expanding social capital field.

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