American Economic Review: Vol. 100 No. 4 (September 2010)


Quick Tools:

Print Article Summary
Export Citation
Sign up for Email Alerts Follow us on Twitter


AER - All Issues

AER Forthcoming Articles

The Law of the Few

Article Citation

Galeotti, Andrea, and Sanjeev Goyal. 2010. "The Law of the Few." American Economic Review, 100(4): 1468-92.

DOI: 10.1257/aer.100.4.1468


Empirical work shows that a large majority of individuals get most of their information from a very small subset of the group, viz., the influencers; moreover, there exist only minor differences between the observable characteristics of the influencers and the others. We refer to these empirical findings as the Law of the Few. This paper develops a model where players personally acquire information and form connections with others to access their information. Every (robust) equilibrium of this model exhibits the law of the few. (JEL D83, D85, Z13)

Article Full-Text Access

Full-text Article

Additional Materials

Online Appendix (123.77 KB)


Galeotti, Andrea (U Essex)
Goyal, Sanjeev (Christ's College, U Cambridge)

JEL Classifications

D83: Search; Learning; Information and Knowledge; Communication; Belief
D85: Network Formation and Analysis: Theory
Z13: Economic Sociology; Economic Anthropology; Social and Economic Stratification

American Economic Review

Quick Tools:

Sign up for Email Alerts

Follow us on Twitter

Subscription Information
(Institutional Administrator Access)


AER - All Issues

AER - Forthcoming Articles

Virtual Field Journals

AEA Member Login:

AEAweb | AEA Journals | Contact Us