We show that the intensity of "keeping up with the Joneses" behavior is largely determined by the extent to which a community is socially connected. Using a unique dataset on car purchases in Southern California, we find that social influence intensifies in suburban communities in which...

We show that status-driven behavior is largely determined by how connected a community is. Using a unique dataset on car purchases in Southern California, we show that social influence intensifies in suburban communities in which neighbors are likely to know each other well. The effect of...