Social Interactions and Economic Behavior

摘要: This paper is a critical introduction to the new wave of economic literature on effect social interactions individual behavior and aggregate outcomes. I refer this research program, also known as economics, socioeconomic analysis behavior, distinguish it from more popular behavior. discuss main features so-called interactions-based models, show how they help us understand substantive phenomena. In order restrict focus, choose five possible applications: matching in labor market, welfare participation, poverty traps inequality, investor consumer Then dwell upon two key undecided questions: (i) why affected by interactions, (ii) context shaped rational individuals. Finally, briefly empirical routes so far used.