Citation:
Mobius M, Rosenblat T. Informal Transfers in Social Networks. In: The Oxford Handbook of the Economics of Networks. Oxford University Press ; 2016. pp. 611-629.
 | Chapter (last draft) | 545 KB |
Abstract:
Social networks can facilitate informal lending and risk-sharing in situations where for-mal institutions such as banks and insurance companies do not exist. The social collateral approach provides an analytically tractable framework that can be used to analyze a wide range of informal transfers. Moreover, the approach is easily amenable to empirical analysis.