Threshold models and their application to sociology and economics Cover Image

Modele progowe i ich zastosowanie w socjologii i ekonomii
Threshold models and their application to sociology and economics

Author(s): Katarzyna Ostasiewicz
Subject(s): Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: threshold model; binary choice model; stationary states

Summary/Abstract: The main idea of threshold models consists in assuming that human behavior and human choices are to a large degree dependent on behaviors and choices of the other members of the society. An individual will be ready to join an action (strike, buying a new product, etc.) conditioned that the certain (in general, different for different persons) percent of his acquaintances or neighbors has already joined it. This percentage is called a threshold and may be, in particular, equal to zero. Sociology, from its very nature, has always taken human co-dependence into regard. Recently, in economics it is also more and more common to assume that human beings are motivated not only by material benefits but by sociological ones, connected with conformism, as well. Threshold models can be used to model such kind of situations.

  • Issue Year: 2011
  • Issue No: 230
  • Page Range: 77-98
  • Page Count: 22
  • Language: Polish