We develop a parsimonious and tractable dynamic social network formation model in which agents interact in overlapping social groups. The model allows us to analyse network properties and homophily patterns simultaneously. We derive analytical expressions for the distributions of degree and, importantly, of homophily indices, using mean-field approximations. We test our model using a large data...

An increasing number of today’s social interactions occurs using online social media as communication channels. Some online social networks have become extremely popular in the last decade. They differ among themselves in the character of the service they provide to online users. For instance, Facebook can be seen mainly as a platform for keeping in touch with close friends and relatives, Twitt...