The Missing Links: Formation and Decay of Economic Networks

Index

INDEX Boldface numbers refer to figures and tables ability: definition of, 208n2; and exit from urban networks in India, 191, 194, 195, 197; and marriage rates in Kenya, 206–7 agent-based modeling, 36 agriculture, in India, 187, 189, 201–2, 204 Albright, L., 137n3 alliances: in biopharmaceuticals industry , 89–90; managers’ role in creation of, 84–85; sociological studies, 5, 87; in technology industry, 89 analysts, 103–4, 120, 150. See also investment bankers and analysts study Anderson, J., 232 anthropology, 112 apparel industry, 31, 111 applied mathematics, 94 Asch, S., 102, 129, 139n10 Aumann, R., 24 automobile industry, 75n11 autonomy, 177n3 Back, K., 89 Ballester, C., 34 Banerjee, A., 200 banking, 111, 135. See also investment bankers and analysts study bargaining game, 53–62, 64–74 bargaining process and power, 46, 49, 63, 64–65 Baron, J., 153 Baum, J., 94 behavior, influence by networks, 33–35 behavioral economics, 19–20 Benjamin, B., 156 Bhide, A., 211 bioinformatics, 94 biopharmaceuticals industry, 89–90 biotechnology industry, 5, 136 Blau, P., 88, 92, 110 blue-collar jobs, in India, 186, 189–90, 191, 195 Boguna, M., 92 Bolton, P., 74n2 Bombay, India, 186, 189–90. See also India, decay of community-based networks Bonacich, P., 34 bond underwriting syndicates, 89 Boorman, S., 22 border effects, in trade, 212–3, 218, 220, 232n7, 8 Bothner, M., 90 bridge networks: decay of, 130–31; definition of, 210; formation of, 212, 230; and government subsidies, 219–21; model of, 213–8; and non-compete covenants and restrictive employment agreements, 231; policy implications, 230; profitability, 220 brokerage, 84–85, 132–34, 211 Burt, R., 38n7, 84–85, 140n11, 12 buyer optimal networks, 50–52, 56–57, 60–62 buyers and sellers, 30–31. See also industrial -supply networks Calvó-Armengol, A., 34 Canada: investment banking study, 94; trade with U.S., 212 castes, 185, 189, 194–95, 207–8. See also India, decay of community-based networks causality, 147–8, 151 centralized markets, 30–31 Charness, G., 38n8 choice-based perspective, 20–21, 22, 25–26 client-based entrepreneurship, 212, 221 closed networks: absence in teams, 161–3; decay of relationships, 102, 107, 123–9, 130; economic approaches , 112; measurement of, 108–16; relational embeddedness, 110; and reputation, 100–101, 102, 112–4, 116–25, 129–30; as social capital , 111; sociological approaches, 111–2; stability of, 101–3; structural embeddedness, 111–4; trust within, 100 cluster networks: border effects, 212–3, 221; definition of, 210; formation of, 212, 230; model of, 213–9; and noncompete covenants and restrictive employment contracts, 221–3, 231; profitability, 220 Coate, S., 198 Coleman, J., 83, 101–2, 102, 112, 113 collaboration, 31–32 college students, 126, 137n3 collusion, 53 community-based networks, 183, 206. See also India, decay of communitybased networks compensation, 30 competence, 84, 95n1 computer industry, 75n7 computer science, 37, 94 connections model, 27–29 connectiveness, level of, 86 consent, 26 constrained capacity networks: best for buyers, 62; payoffs in, 56, 59, 68–70; and suppliers’ participation constraint , 57–58 consultants, 232n7 consumer decisions, 23, 35 consumption threshold, 199–200, 207 contracts: in embedded economic exchanges , 85; employment, 213, 221–3, 230–1, 233n12; and network formation incentive, 74n2; and transactional risk, 82 cooperation, 5 cooperative-game theory, 23–24 Corominas-Bosch, M., 38n8 corporate networks. See industrialsupply networks; inter-organizational networks costs and benefits: modeling of, 24–28; of multiple networks, 33–34 crime, 34–35 Currarini, S., 30 Davis, J., 177n3 debt, of banks, 135 decay, network: in closed networks, 102, 107, 123–9, 130; economic approach , 183, 184; in entrepreneurial networks, 231; sociological approach, 184–5 degree distribution, 35 density, of networks, 161–3, 167. See also closed networks developed states, 5 Diamond, D., 135 diffusion of information, 35, 80, 83–84 direct relationships, 27, 132–4, 163 direct structural embeddedness: definition of, 111–2; measurement of, 115–6; and reputational stability, 108, 126 distance-interaction states, law of, 88–89 Dodds, P., 93 Durkheim, E, 4 Dutta, B., 30 econometrics, 158 economic approaches: choice perspective , 20–21; closed networks, 111; cooperative -game theory, 23–24; costs and benefits, modeling of, 24–28; early studies, 22–23; end states, 5; explanatory power of, 32–33; individual incentives vs. societal welfare, 28–32; inter-organizational networks, 91–92, 94; network decay, 183, 184; network formation, 2–3, 4, 5, 210; reputation, 135; researchers’ perspective, 21–22; vs. sociological approaches, 91–92; state of nature, 4; welfare implica238 Index [18.218.254.122] Project...