Social Networks in Structural Equation Models

Structural equation models of individual action typically do not take into account the network of interpersonal influence that appears, in virtually all of the fields of social psychology, as an important determinant of individuals' actions. It is not sufficiently appreciated that a proper test of a causal model is placed in jeopardy when this network is ignored. Some research has dealt with methods of estimating the causal impact of a network of interpersonal influences, once such a network has been made a part of a causal model. Hardly any attention, however, has been given to the theoretical foundations and implications of extending the general linear model to encompass a network of interpersonal influences. This paper is concerned with these foundations and implications; its goal is to make the network approach to individual action accessible to a larger audience of sociologists.