Detecting latent communities in network formation models

• Main Authors: MA, Shujie, SU, Liangjun, ZHANG, Yichong
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2020
• Subjects: Community detection; homophily; spectral clustering; strong consistency; unobserved heterogeneity; Econometrics
• Online Access: https://ink.library.smu.edu.sg/soe_research/2377; https://ink.library.smu.edu.sg/context/soe_research/article/3376/viewcontent/MSZ_20200508_.pdf
• Institution: Singapore Management University

This paper proposes a logistic undirected network formation model which allows for assortative matching on observed individual characteristics and the presence of edge-wise fixed effects. We model the coefficients of observed characteristics to have a latent community structure and the edge-wise fixed eff...