This article discusses two applications of social network theory to employment and social policies. Job contact networks help workers find jobs and risk-sharing networks help villagers in developing countries insure against illness and idiosyncratic shocks. In both applications, recent advances...

We analyze the formation of partnerships in social networks. Players need favors at random times and ask their neighbors in the network to form exclusive long-term partnerships that guarantee reciprocal favor exchange. Refusing to provide a favor results in the automatic removal of the...