A Social Network Analysis of Occupational Segregation

We develop a social network model of occupational segregation between different social groups, generated by the existence of positive inbreeding bias among individuals from the same group. If network referrals are important for job search, then expected homophily in the contact network structure induces different career choices for individuals from different social groups. This further translates into stable occupational segregation equilibria in the labor market. We derive the conditions for wage and unemployment inequality in the segregation equilibria and characterize first and second best social welfare optima. Surprisingly, we find that socially optimal policies involve segregation.Social Networks, Homophily, Inbreeding Bias, Occupational Segregation, Labor Market Inequality, Social Welfare

Job characteristics, wages, and the employment contract

Wages ; Pensions

Extended Inclusive Fitness Theory bridges Economics and Biology through a common understanding of Social Synergy

Inclusive Fitness Theory (IFT) was proposed half a century ago by W.D. Hamilton to explain the emergence and maintenance of cooperation between individuals that allows the existence of society. Contemporary evolutionary ecology identified several factors that increase inclusive fitness, in addition to kin-selection, such as assortation or homophily, and social synergies triggered by cooperation. Here we propose an Extend Inclusive Fitness Theory (EIFT) that includes in the fitness calculation all direct and indirect benefits an agent obtains by its own actions, and through interactions with kin and with genetically unrelated individuals. This formulation focuses on the sustainable cost/benefit threshold ratio of cooperation and on the probability of agents sharing mutually compatible memes or genes. This broader description of the nature of social dynamics allows to compare the evolution of cooperation among kin and non-kin, intra- and inter-specific cooperation, co-evolution, the emergence of symbioses, of social synergies, and the emergence of division of labor. EIFT promotes interdisciplinary cross fertilization of ideas by allowing to describe the role for division of labor in the emergence of social synergies, providing an integrated framework for the study of both, biological evolution of social behavior and economic market dynamics.Comment: Bioeconomics, Synergy, Complexit

The regulatory environment of the section of the non-standardized goods market - The findings of an interview research on Hungarian construction industry small enterprises

In this paper the behavior of economic actors shown in the uncertain quality goods markets is examined from the perspective of the sociology of markets. The analysis uses the findings of in-depth interviews conducted in 2011 and 2012 respectively amongst small and medium size entrepreneurs working in construction industry. In the Hungarian construction industry neither formal rules, nor vocational chambers, are able to create a safe environment for entrepreneurs. Nevertheless, networks created as a result of micro-selection steps might be able to enforce the quality of services, observe deadlines and what is more, ensure payment discipline. In this market, the typical high risk can be reduced by relationships. Networks reduce also the cost of transactions, since the important part of the services in this field could only be standardized at significant costs

Measuring, Characterizing, and Detecting Facebook Like Farms

Social networks offer convenient ways to seamlessly reach out to large audiences. In particular, Facebook pages are increasingly used by businesses, brands, and organizations to connect with multitudes of users worldwide. As the number of likes of a page has become a de-facto measure of its popularity and profitability, an underground market of services artificially inflating page likes, aka like farms, has emerged alongside Facebook's official targeted advertising platform. Nonetheless, there is little work that systematically analyzes Facebook pages' promotion methods. Aiming to fill this gap, we present a honeypot-based comparative measurement study of page likes garnered via Facebook advertising and from popular like farms. First, we analyze likes based on demographic, temporal, and social characteristics, and find that some farms seem to be operated by bots and do not really try to hide the nature of their operations, while others follow a stealthier approach, mimicking regular users' behavior. Next, we look at fraud detection algorithms currently deployed by Facebook and show that they do not work well to detect stealthy farms which spread likes over longer timespans and like popular pages to mimic regular users. To overcome their limitations, we investigate the feasibility of timeline-based detection of like farm accounts, focusing on characterizing content generated by Facebook accounts on their timelines as an indicator of genuine versus fake social activity. We analyze a range of features, grouped into two main categories: lexical and non-lexical. We find that like farm accounts tend to re-share content, use fewer words and poorer vocabulary, and more often generate duplicate comments and likes compared to normal users. Using relevant lexical and non-lexical features, we build a classifier to detect like farms accounts that achieves precision higher than 99% and 93% recall.Comment: To appear in ACM Transactions on Privacy and Security (TOPS

A Survey of Models of Network Formation: Stability and Efficiency

I survey the recent literature on the formation of networks. I provide definitions of network games, a number of examples of models from the literature, and discuss some of what is known about the (in)compatibility of overall societal welfare with individual incentives to form and sever links

Social Interaction and R & D Project Performance

[Excerpt] The purpose of this working paper is to present some initial findings from research currently being conducted on the effect of informal structures of communication and interaction on the product development process. The general hypothesis of the study is that higher levels of communication are associated with more effective working relationships among the different functional groups working on product innovation. The first part of this paper will review previous work in the area. Part II develops the questions of the current study. Part III outlines the methods used to address the research questions. Part IV presents the results from an initial pilot study performed within one organization. The final section discusses these results in terms of their implications for the management of innovation