2024/01/02 by Gadi Fibich, Fibich, Gadi, Tomer Levin +3
Decision Sciences · Physics and Astronomy · #Complex Network Analysis Techniques #FOS: Mathematics #FOS: Physical sciences #Innovation Diffusion and Forecasting #Physics and Society (physics.soc-ph) #Probability (math.PR)
paper · pdf · doi:10.48550/arxiv.2401.01397
openalex publication_date 2024/01/02 · openalex created_date 2025/10/10 · openalex updated_date 2026/08/01
We analyze the effect of boundaries in the discrete Bass model on D-dimensional Cartesian networks. In 2D, this model describes the diffusion of new products that spread primarily by spatial peer effects, such as residential photovoltaic solar systems. We show analytically that nodes (residential units) that are located near the boundary are less likely to adopt than centrally-located ones. This boundary effect is local, and decays exponentially with the distance from the boundary. At the aggregate level, boundary effects reduce the overall adoption level. The magnitude of this reduction scales as~\frac1M1/D, where~M is the number of nodes. Our analysis is supported by empirical evidence on the effect of boundaries on the adoption of solar.