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Journal of Economic Literature: Vol. 48 No. 4 (December 2010)

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Does Network Theory Connect to the Rest of Us? A Review of Matthew O. Jackson's Social and Economic Networks

Article Citation

Rauch, James E. 2010. "Does Network Theory Connect to the Rest of Us? A Review of Matthew O. Jackson's Social and Economic Networks." Journal of Economic Literature, 48(4): 980-86.

DOI: 10.1257/jel.48.4.980

Abstract

The ubiquity of networks in our social lives has long been recognized, and their importance in our economic lives is increasingly recognized as well. Yet the literature synthesized in Matthew O. Jackson's Social and Economic Networks, which covers the theory of how networks form, decay, and shape behavior at a general level, has had little influence on either applied theory or empirical work in this area. This is partly because of limitations of network theory as it has evolved in this literature. After describing the network theory presented in the book, I discuss these limitations and make some tentative suggestions as to how they might be overcome. (JEL D85, L14, Z13)

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Authors

Rauch, James E. (U CA, San Diego)

JEL Classifications

D85: Network Formation and Analysis: Theory
L14: Transactional Relationships; Contracts and Reputation; Networks
Z13: Economic Sociology; Economic Anthropology; Social and Economic Stratification


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