We theoretically and empirically study an incomplete information model of social learning. Agents initially guess the binary state of the world after observing a private signal. In subsequent rounds, agents observe their network neighbors' previous guesses before guessing again. Agents are drawn from a mixture of learning types—Bayesian, who face incomplete information about others' types, and DeGroot, who average their neighbors' previous period guesses and follow the majority. We study (1) learning features of both types of agents in our incomplete information model; (2) what network structures lead to failures of asymptotic learning; (3) whether realistic networks exhibit such structures. We conducted lab experiments with 665 subjects in Indian villages and 350 students from ITAM in Mexico. We perform a reduced‐form analysis and then structurally estimate the mixing parameter, finding the share of Bayesian agents to be 10% and 50% in the Indian‐villager and Mexican‐student samples, respectively.
MLA
Chandrasekhar, Arun G., et al. “Testing Models of Social Learning on Networks: Evidence from Two Experiments.” Econometrica, vol. 88, .no 1, Econometric Society, 2020, pp. 1-32, https://doi.org/10.3982/ECTA14407
Chicago
Chandrasekhar, Arun G., Horacio Larreguy, and Juan Pablo Xandri. “Testing Models of Social Learning on Networks: Evidence from Two Experiments.” Econometrica, 88, .no 1, (Econometric Society: 2020), 1-32. https://doi.org/10.3982/ECTA14407
APA
Chandrasekhar, A. G., Larreguy, H., & Xandri, J. P. (2020). Testing Models of Social Learning on Networks: Evidence from Two Experiments. Econometrica, 88(1), 1-32. https://doi.org/10.3982/ECTA14407
Supplement to "Testing Models of Social Learning on Networks: Evidence from Two Experiments"
This zip file contains the replication files for the manuscript. It also includes an additional appendix with material not found within the manuscript.
By clicking the "Accept" button or continuing to browse our site, you agree to first-party and session-only cookies being stored on your device. Cookies are used to optimize your experience and anonymously analyze website performance and traffic.