Identification of Peer Effects in Networked Panel Data

  title={Identification of Peer Effects in Networked Panel Data},
  author={Daniel Rock and Sinan Aral and Sean J. Taylor},
After product adoption, consumers make decisions about continued use. These choices can be influenced by peer decisions in networks, but identifying causal peer influence effects is challenging. Correlations in peer behavior may be driven by correlated effects, exogenous consumer and peer characteristics, or endogenous peer effects of behavior (Manski 1993). Extending the work of Bramoullé et al. (2009), we apply proofs of peer effect identification in networks under a set of exogeneity… CONTINUE READING