Pré-Publication, Document De Travail (Working Paper) Année : 2025

Addiction in networks

Résumé

This paper develops a dynamic model of addiction on networks, where individuals’ consumption is shaped by peer influence. We analyze the longrun effects of social interactions by characterizing steady-state consumption as a function of both network position and forward-looking behavior. We also examine the welfare implications of network structure and evaluate the effectiveness of various public policies aimed at reducing the demand for addictive goods. In particular, we study a key-player policy—modeled as a targeted rehabilitation program—that leverages the network’s interpersonal influences to maximize impact.

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Dates et versions

hal-05007080 , version 1 (26-03-2025)

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  • HAL Id : hal-05007080 , version 1

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Frédéric Deroïan, Philippine Escudie. Addiction in networks. 2025. ⟨hal-05007080⟩
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