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I discuss economic and social sources of inequality and elaborate on the role of social networks in inequality, economic immobility, and economic inefficiencies. The lens of social networks clarifies how the entanglement of people's…

General Economics · Economics 2025-06-17 Matthew O. Jackson

Wealth transactions are central to economic activity, and their particularities shape macroeconomic outcomes. We propose an agent-based model to investigate how homophily influences economic inequality. The model simulates wealth exchanges…

Physics and Society · Physics 2025-02-26 Gustavo L. Kohlrausch , Thiago Dias , Sebastian Gonçalves

Urban areas serve as melting pots of people with diverse socioeconomic backgrounds, who may not only be segregated but have characteristic mobility patterns in the city. While mobility is driven by individual needs and preferences, the…

Physics and Society · Physics 2024-01-26 Rafiazka Millanida Hilman , Gerardo Iñiguez , Márton Karsai

Homophily is the seemingly ubiquitous tendency for people to connect and interact with other individuals who are similar to them. This is a well-documented principle and is fundamental for how society organizes. Although many social…

Social and Information Networks · Computer Science 2023-01-12 Nate Veldt , Austin R. Benson , Jon Kleinberg

Is homophily in social and economic networks driven by a taste for homogeneity (preferences) or by a higher probability of meeting individuals with similar attributes (opportunity)? This paper studies identification and estimation of an…

Econometrics · Economics 2026-03-20 Luis Alvarez , Cristine Pinto , Vladimir Ponczek

Homophily, the tendency of individuals to associate with others who share similar traits, has been identified as a major driving force in the formation and evolution of social ties. In many cases, it is not clear if homophily is the result…

Physics and Society · Physics 2017-09-01 Ivan Smirnov , Stefan Thurner

This study examines the determinants of the spousal age gap (SAG) in India, utilizing data from the 61st and 68th rounds of the National Sample Survey (NSSO). We employ regression analysis, including instrumental variables, to address…

General Economics · Economics 2025-09-03 Praveen , Suddhasil Siddhanta , Anoshua Chaudhuri

Income segregation measures the extent to which households choose to live near other households with similar incomes. Sociologists theorize that income segregation can exacerbate the impacts of income inequality, and have developed indices…

Methodology · Statistics 2021-11-24 Matthew Simpson , Scott H. Holan , Christopher K. Wikle , Jonathan R. Bradley

Inbreeding homophily is a prevalent feature of human social networks with important individual and group-level social, economic, and health consequences. The literature has proposed an overwhelming number of dimensions along which human…

General Economics · Economics 2022-06-29 Pablo Brañas-Garza , Lorenzo Ductor , Jaromír Kovárík

Discriminatory caste attitudes currently stigmatize millions of Indians, subjecting individuals to prejudice in all aspects of life. Governmental incentives and societal movements have attempted to counter these attitudes, yet accurate…

Social and Information Networks · Computer Science 2019-04-09 Ashwin Rajadesingan , Ramaswami Mahalingam , David Jurgens

Homophily is a graph property describing the tendency of edges to connect similar nodes. There are several measures used for assessing homophily but all are known to have certain drawbacks: in particular, they cannot be reliably used for…

Machine Learning · Computer Science 2024-12-16 Mikhail Mironov , Liudmila Prokhorenkova

How self-organization leads to the emergence of structure in social populations remains a fascinating and open question in the study of complex systems. One frequently observed structure that emerges again and again across systems is that…

Physics and Society · Physics 2022-05-04 Matthew J. Young , Matthew J. Silk , Alex J. Pritchard , Nina H. Fefferman

Research on friendship networks in schools suggests that heterogeneity increases homophily preferences. We argue that this may be a misleading interpretation of the coefficients of the exponential random graph models (p*) that are used to…

Physics and Society · Physics 2009-01-20 Andreas Flache , Tobias Stark

Urban income segregation is a widespread phenomenon that challenges societies across the globe. Classical studies on segregation have largely focused on the geographic distribution of residential neighborhoods rather than on patterns of…

Social and Information Networks · Computer Science 2020-04-21 Xiaowen Dong , Alfredo J. Morales , Eaman Jahani , Esteban Moro , Bruno Lepri , Burcin Bozkaya , Carlos Sarraute , Yaneer Bar-Yam , Alex Pentland

Homophily, the tendency of individuals who are alike to form ties with one another, is an important concept in the study of social networks. Yet accounting for homophily effects is complicated in the context of bipartite networks where ties…

Social and Information Networks · Computer Science 2023-12-12 Rashmi P. Bomiriya , Alina R. Kuvelkar , David R. Hunter , Steffen Triebel

Women have become better represented in business, academia, and government over time, yet a dearth of women at the highest levels of leadership remains. Sociologists have attributed the leaky progression of women through professional…

Physics and Society · Physics 2019-03-27 Sara M. Clifton , Kaitlin Hill , Avinash J. Karamchandani , Eric A. Autry , Patrick McMahon , Grace Sun

Recent research has documented a significant rise in the volatility (e.g., expected squared change) of individual incomes in the U.S. since the 1970s. Existing measures of this trend abstract from individual heterogeneity, effectively…

Statistical Finance · Quantitative Finance 2008-12-02 Shane T. Jensen , Stephen H. Shore

The form of political polarization where citizens develop strongly negative attitudes towards out-party policies and members has become increasingly prominent across many democracies. Economic hardship and social inequality, as well as…

General Economics · Economics 2022-10-12 Alexander J. Stewart , Joshua B. Plotkin , Nolan McCarty

We propose an equilibrium interaction model of occupational segregation and labor market inequality between two social groups, generated exclusively through the documented tendency to refer informal job seekers of identical "social color".…

Theoretical Economics · Economics 2022-12-27 I. Sebastian Buhai , Marco J. van der Leij

Homophily -- the tendency of individuals to interact with similar others -- shapes how networks form and function. Yet existing approaches typically collapse homophily to a single scale, either one parameter for the whole network or one per…

Physics and Society · Physics 2025-12-16 Abbas K. Rizi , Riccardo Michielan , Clara Stegehuis , Mikko Kivelä