Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:5. Suppose we have a network with two types of people, Wolverines and Buckeyes. Links are
formed via a stochastic block model, with pw, PB, q € (0, 1), where pw>q and PB > q. The
number of Wolverines and Buckeyes is nw and ng, respectively.
(a) Explain why this model generates clustering. Distinguish a taste for triadic closure from
homophily as explanations. Which one does this model allow for?
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