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Norms and the evolution of leaders’ followership

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  • Cabrales, Antonio
  • Hauk, Esther

Abstract

In this paper we model the interaction between leaders, their followers and crowd followers in a coordination game with local interaction. The steady states of a dynamic best-response process can feature a coexistence of Pareto dominant and risk dominant actions in the population. The existence of leaders and their followers, plus the local interaction, which leads to clustering, is crucial for the survival of the Pareto dominant actions. The evolution of leader and crowd followership shows that leader followership can also be locally stable around Pareto dominant leaders. The paper answers the questions (i) which Leader should be removed and (ii) how to optimally place leaders in the network to enhance payoff dominant play.

Suggested Citation

  • Cabrales, Antonio & Hauk, Esther, 2022. "Norms and the evolution of leaders’ followership," SocArXiv 8mect_v1, Center for Open Science.
    • Handle: RePEc:osf:socarx:8mect_v1
    DOI: 10.31219/osf.io/8mect_v1
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    References listed on IDEAS

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    1. Malte Müller & Jens Rommel & Christian Kimmich, 2018. "Farmers’ Adoption of Irrigation Technologies: Experimental Evidence from a Coordination Game with Positive Network Externalities in India," German Economic Review, Verein für Socialpolitik, vol. 19(2), pages 119-139, May.
    2. Young, H Peyton, 1993. "The Evolution of Conventions," Econometrica, Econometric Society, vol. 61(1), pages 57-84, January.
    3. Eshel, Ilan & Samuelson, Larry & Shaked, Avner, 1998. "Altruists, Egoists, and Hooligans in a Local Interaction Model," American Economic Review, American Economic Association, vol. 88(1), pages 157-179, March.
    4. Müller Malte & Kimmich Christian & Rommel Jens, 2018. "Farmers’ Adoption of Irrigation Technologies: Experimental Evidence from a Coordination Game with Positive Network Externalities in India," German Economic Review, De Gruyter, vol. 19(2), pages 119-139, May.
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