A belief-based theory of homophily

• 成果类型: Article
• 署名作者: Kets, Willemien; Sandroni, Alvaro
• 署名单位: University of Oxford; Northwestern University; The Santa Fe Institute; Northwestern University
• 刊物名称: GAMES AND ECONOMIC BEHAVIOR
• ISSN/ISSBN: 0899-8256
• DOI: 10.1016/j.geb.2019.04.002
• 发表日期: 2019
• 页码: 410-435
• 关键词: Homophily; culture; Theory of mind; strategic uncertainty; COORDINATION

摘要

Homophily, the tendency of people to associate with people similar to themselves, is a widespread phenomenon that has important economic consequences. We endogenize players' preferences for interacting with their own group by modeling the process by which players take others' perspective. Homophily emerges because players find it easier to put themselves into the shoes of members of their own group. The model sheds light on various empirical regularities and has novel welfare implications. In particular, policies that reduce homophily may not improve social welfare. (C) 2019 Published by Elsevier Inc.