This project brings social networks and geography into the economic theory of public goods. Public goods are goods that benefit many people all at once. For example, innovation, education, and social services are all critical to modern economies and economic growth. The project studies the long-standing problem in public good provision: individual contributions benefit many people, but contributors do not receive payment or recompense for the total impact of their work. This project considers social interactions and social incentives in public good provision. Communities, neighborhoods, ethnicity, and kin have all been argued to be central to the provision of public goods. The project draws heavily on these empirical findings. It formalizes social networks and social identity, and integrates them into mathematical models of decision-making. By developing a network theory of public goods and social interactions, the project both advances basic science and provides a guide to new directions for empirical research and policy.
Public goods are vital to a productive workforce and sustainable economic growth. Industrial research and development, health, security, and environmental preservation are just some examples of public goods. In its scientific mission, this project will advance understanding of how actual and virtual communities and governmental agencies help or hinder the provision of public goods. The project combines new economic techniques and computer science techniques to understand how networks of people can contribute to economic growth. In its education mission, the project will promote and advance the participation and education of women in two scientific fields - computer science and economic science - where women are significantly underrepresented. The project will develop courses and run workshops to train students in a set of tools for studying networks and strategic games. In its personnel and subject matter, the project follows national panel recommendations to increase the participation of women in science by providing role models and fostering research with social objectives.
