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Network Dynamics in Social and Economical Systems

Network Dynamics in Social and Economical Systems. Cesar A. Hidalgo R. 1 Carlos Rodriguez-Sickert 2 , A.-L. Barabasi 1. 1 CCNR University of Notre Dame, Notre Dame, IN. Dept. of Sociology Pontificia Universidad Catolica de Chile. Ann Arbor April 2007. Core-Periphery structure.

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Network Dynamics in Social and Economical Systems

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  1. Network Dynamics in Social and Economical Systems Cesar A. Hidalgo R.1 Carlos Rodriguez-Sickert2, A.-L. Barabasi1 1 CCNR University of Notre Dame, Notre Dame, IN • Dept. of Sociology • Pontificia Universidad Catolica de Chile Ann Arbor April 2007

  2. Core-Periphery structure The Stability of core and peripheral networks over time. David L. Morgan, Margaret B. Neal and Paula Carder, Social Networks 19 (1996) 9-25 234 widows, 1 year, 7 panels

  3. Core = Kin The Stability of core and peripheral networks over time. David L. Morgan, Margaret B. Neal and Paula Carder, Social Networks 19 (1996) 9-25

  4. Another More Recent Support study They analyzed 77 MBA graduates for 3 time periods and add relational content. The generating question was to name people that have taken an active interest and concerted action in the advancement of their careers. The conclusion is that the ties that granted psychosocial support compromised the inner core. Relational Instability at the Network Core: Support Dynamics in developmental networks. Jonathon N. Cummings, Monica C. Higgins, Social Networks 28 (2006) 38-55

  5. Yet Another Study • 42 Women Re-entering college. • Main Conclusion is that people for work support becomes more educated as this women get educated. Once a friend, always a friend? Effects of homophily on women’s support networks accross a decade. Jill Suitor, Shirley Keeton, Social Networks 19 (1997) 51-62

  6. Status Transition

  7. Decay Functions [1] Decay Functions. Ronald S.Burt, Social Networks 22 (2000) 1-28.

  8. Bridge Decay Bridge Decay. Ronald S. Burt, Social Networks 24 (2002) 333-363

  9. The Persistence of Social Ties

  10. Mobile Phone Network Where? Western Country (Penetration >100%) Share of the Market ~ 25% Nodes = 1.950.426 Edges = 7.948.890 (Voice Calls)

  11. Persistence Perseverance

  12. Core-Periphery Structure Power-Law Decay

  13. Pij, pi and k

  14. Pij, pi and C

  15. Pij and <reciprocity>

  16. Pij, pi, Gender and Age

  17. Gender And Age F M F 1-M/F M

  18. Multivariate Analysis (Node Level) Linear Regression p = 0.0598 C – 0.0122 k + 0.3626 r + 0.0015 Age +0.0009 Gender +0.2506 Correlations and Partial Correlations

  19. Multivariate Analysis (Tie Level) Linear Regression P = 0.09DC + 0.002Dk + 0.15Dr – 0.03 DGender -0.002DAge + 0.35 R + 0.56TO +0.16 Correlations and Partial Correlations

  20. Reality Test Prediction Accuracy = A/(A+B) Sensitivity=A/(A+C)

  21. Conclusions • Quantitative Sociology can be performed using mobile phone billing data. • As an example we studied the persistence of ties and showed that is strongly coupled to the topology of the network. • This coupling is strong enough to make relatively accurate predictions about the existence of ties in the future.

  22. The Product Space and its Consequences for Economic Growth Cesar A. Hidalgo R.1 Bailey Klinger2, A.-L. Barabasi1, R. Haussman2 1CCNR, Dept of Physics, University of Notre Dame 2CID, Kennedy School of Government, Harvard University

  23. Area of countries proportional to ppp (GDP per Capita). Source: worldmapper.org

  24. Share of the ith product on the basket of country c at time t Share of the ith product on the basket of the world at time t fij=P(RCAi|RCAj) Fij = min{P(RCAi|RCAj),P(RCAj|RCAi)} B. Balassa, The Review of Economics and Statistics68, 315 (1986).

  25. Feenstra’s Trade Flows(1) sitc-4 import and export data. (1) Feenstra, R. R. Lipsey, H. Deng, A. Ma and H. Mo. 2005. “World Trade Flows: 1962-2000”NBER working paper 11040. National Bureau of Economic Research, Cambridge MA.

  26. Threshold = 0.55 Number of Links = 1525

  27. MALAYSIA

  28. Malaysia 1975

  29. Malaysia 1980

  30. Malaysia 1985

  31. Malaysia 1990

  32. Malaysia 1995

  33. Malaysia 2000

  34. Density Discovery Factor wj = Fraction of the product space that seems to be developed fromthe jth product perspective Hj = Increase in density betweentransition product and undevelopedproducts.

  35. Discovery Factor Density

  36. P(transition | closest developed product is at proximity f)

  37. KEY Denotes where region has RCA

  38. Conclusion We showed: • Product space is heterogeneous • Constrains the development of RCA • Rich and poor countries are located in distinct places of it • Development Strategies should be different for rich and poor countries • The structure of the space preventseconomical convergence

  39. Acknowledgments • A.-L. Barabasi • B. Klinger • R. Hausmann • C. Rodriguez-Sickert • Kellogg Institute

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