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Structural Interventions in Networks

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Document pages: 49 pages

Abstract: Two types of interventions are commonly implemented in networks:characteristic intervention, which influences individuals intrinsicincentives, and structural intervention, which targets the social links amongindividuals. In this paper we provide a general framework to evaluate thedistinct equilibrium effects of both types of interventions. We identify ahidden equivalence between a structural intervention and an endogenouslydetermined characteristic intervention. Compared with existing approaches inthe literature, the perspective from such an equivalence provides severaladvantages in the analysis of interventions that target network structure. Wepresent a wide range of applications of our theory, including identifying themost wanted criminal(s) in delinquent networks and targeting the key connectorfor isolated communities.

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