Social Networks 101 PROF. JASON HARTLINE AND PROF. NICOLE IMMORLICA Guessing game Experiment: There are three balls in this urn, either or Guessing game Experiment: This is called a blue urn. This is called a yellow urn. Guessing game Experiment: When I call your name, 1. You (and only you) will see a random ball. 2. You must then guess if the urn is a blue urn or a yellow (red) urn, and tell the class your guess. If you guess correctly, you will earn one point. What should the 1st student do? ? ? ? Guess that urn is same color as ball. What should the 2nd student do? 1st guess was blue. ? ? ? What should the 2nd student do? 1st guess was blue. ? ? ? Guess that urn is same color as ball. What should the 3rd student do? 1st and 2nd guesses were blue. ? ? ? Guess that urn is blue no matter what she sees! What should the nth student do? First (n-1) guesses were blue. ? ? ? First 2 students told the truth. If the first two guesses are blue, everyone should guess blue. Staring up at the sky. Choosing a restaurant in a strange town. Self-reinforcing success of best-selling books. Voting for popular candidates. Information cascades When: 1. People make decisions sequentially, 2. and observe actions of earlier people. Information cascade: People abandon own info. in favor of inferences based on others’ actions. Rational Imitation Cascade (not simply peer pressure) Observations 1. Cascades are easy to start. (every student makes same guess so long as first two students make same guess) Observations 2. Cascades can lead to bad outcomes. (given blue urn, chance of seeing red ball is 1/3, so first two students guess red with prob. (1/3)2 = 1/9) Observations 3. Cascades are fragile. (if a few students show the color of the ball they picked to the entire class, the cascade can be reversed) Conditional probability How likely is it that the urn is yellow given what you’ve seen and heard? Strategy for urns A player should guess yellow if, Pr [ yellow urn | what she saw and heard ] > ½ and blue otherwise. Analysis From setup of experiment, Pr [ ] = Pr [ ] = 1/2 Analysis From composition of urns, Pr [ | ] = Pr [ | ] = 2/3 Analysis Suppose first student draws Pr [ | ]= : Pr [ | ] x Pr [ Pr [ ] ] Analysis Suppose first student draws Pr [ | ]= : Pr (2/3) [ | x] x Pr (1/2) [ ] Pr [ ] Pr [ ] = Pr [(2/3) | x] x (1/2) Pr [ ] + Pr [(1/3) | x] x (1/2) Pr [ =] (1/2) Analysis Suppose first student draws Pr [ : | ] = (2/3) > (1/2) then he should guess yellow. Analysis Suppose second student draws Pr [ too: | , ] 2nd student’s draw 1st student’s guess Analysis Suppose second student draws Pr [ too: | , ] > (1/2) by a similar analysis, so she also guesses yellow. Analysis Suppose third student draws Pr [ : | , , ] 3rd student’s draw 2nd student’s guess 1st student’s guess Analysis Suppose third student draws Pr [ : | , , ]= (1/3) x (2/3) x (2/3) Pr [ , , | (1/2) ] x Pr [ Pr [ , , ] ] Analysis Pr [ , , ] = (1/3) x (2/3) x (2/3) Pr [ , , | (2/3) x (1/3) x (1/3) + Pr [ , , | (1/2) ] x Pr [ ] (1/2) ] x Pr [ ] Analysis Suppose third student draws Pr [ : | , , ]= (1/3) x (2/3) x (2/3) x (1/2) (1/3) x (2/3) x (2/3) x (1/2) + (2/3) x (1/3) x (1/3) x (1/2) = (2/3) > (1/2) Analysis The best strategy for the third student is to guess yellow no matter what he draws. Other sequences # yellow guesses - # blue guesses 2 Yellow cascade starts. 1 0 -1 -2 1 2 3 4 Blue cascade starts. 5 6 7 student Q. What is the largest city in the US? A. New York, population 8,175,133 Q. What is the 2nd largest city in the US? A. Los Angeles, population 3,729,621 Q. What is the 3rd largest city in the US? A. Chicago, population 3,695,598 City populations 1. New York 2. Los Angeles 3. Chicago 4. Houston 5. Philadelphia 6. Phoenix 7. San Antonio 8. San Diego 9. Dallas 10. San Jose 8,175,133 3,792,621 2,695,598 2,099,451 1,526,006 1,445,632 1,327,407 1,307,402 1,197,816 945,942 City populations 1. New York 2. Los Angeles 3. Chicago 8,175,133 3,792,621 2,695,598 230. Berkeley, CA 112,580 240. Murfreesboro, TN 108,755 250. Ventura, CA 106,433 A few cities with high population Many cities with low population City populations City populations Power Law: The number of cities with population at least k is proportional to k-c for a constant c. “fraction of items” Power Law: The number of cities with population > k is proportional to k-c. “popularity = k” Power Law: Fraction f(k) of items with popularity k is proportional to k-c. f(k) k-c log [f(k)] log [k-c] log [f(k)] -c log [k] A power law is a straight line on a log-log plot. City populations Other examples Why does data exhibit power laws? Previously, … Imitation Cascade Today Imitation Power law Constructing the web 1. Pages are created in order, named 1, 2, …, N 2. When created, page j links to a page by a) With probability p, picking a page i uniformly at random from 1, …, j-1 b) With probability (1-p), pick page i uniformly at random and link to the page that i links too Imitation The rich get richer 2 b) With prob. (1-p), pick page i uniformly at random and link to the page that i links too 3/4 1/4 The rich get richer 2 b) With prob. (1-p), pick page i uniformly at random and link to the page that i links too Equivalently, 2 b) With prob. (1-p), pick a page proportional to its in-degree and link to it Rich get richer Power law Why is Harry Potter popular? If we could re-play history, would we still read Harry Potter, or would it be some other book? Information cascades and the rich Information cascade = so some people get a little bit richer by chance and then rich-get-richer dynamics = the random rich people get a lot richer very fast Music download site – 8 worlds 1. “Let’s go driving,” Barzin 18 2. “Silence is sexy,” Einstürzende 3 Neubauten 3. “Go it alone,” Noonday 47 Underground 1. “Let’s go driving,” Barzin 2. “Silence is sexy,” Einstürzende Neubauten 3. “Go it alone,” Noonday Underground 10.“Picadilly Lilly,” Tiger Lillies 10.“Picadilly Lilly,” Tiger Lillies 2 59 7 10 1