Network cohesion
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Abstract
We define a measure of network cohesion and show how it arises naturally in a broad class of dynamic models of endogenous perpetual growth with network externalities. Via a standard growth model, we show why network cohesion is crucial for conditional convergence and explain that as cohesion increases, convergence is faster. We prove properties of network cohesion and define a network aggregator that preserves network cohesion.
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Keywords
Network theory, Endogenous growth models, Convergence Consensus
Journal Title
Economic Theory
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Journal ISSN
0938-2259
1432-0479
1432-0479
Volume Title
64
Publisher
Springer Verlag