Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/147872
Authors: 
Patacchini, Eleonora
Arduini, Tiziano
Year of Publication: 
2016
Series/Report no.: 
IZA Discussion Papers 10186
Abstract: 
Using detailed data on a cohort of young Americans who were in their late twenties and early thirties in 2008, we investigate the importance of forces different from economic incentives in nest-leaving decisions. We apply recent methods from social network econometrics to identify the importance of peers net of confounding factors. For the entire sample, our findings reveal no evidence of peer effects. Indicators of parenting and the social structure of families appear to be the major factors in the decisions to coreside with parents. However, for those who moved back home after a few years of living alone, we find strong peer effects. These findings are consistent with theories of social influences in peer groups in which peers play a critical role for individuals with time-inconsistent preferences.
Subjects: 
living arrangements
social networks
endogenous network formation
spatial autoregressive model
control function approach
Bayesian estimation
social multiplier
JEL: 
A14
C21
D85
R21
Z13
Document Type: 
Working Paper

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