Executive Summary: Let us suppose that there is a society (or nation) in full autarky.The society has all modern technologies, a reasonable size of population and age structure. Define an index of its social network as the following: Randomly select two citizens from the population; there will be a number of people connecting these two. For example, let’s say E1 and E2 are selected, and we find that A, B, and Cestablish a connection in the way that E1 and A know each other, similarly A and B, B
and C, C and E2 know each other. If we can’t find a smaller group that connects E1 and E2, we say the length of their connection is 3. The index of the social network of this society is defined as the median of all lengths. On day X, an entrepreneur
invented and launched a social network website called renren.com (or some other name you prefer). The website reduces the index from 10 to 8. Question: Please rigorously estimate the social/market value of this venture.
请教。怎么核算其市场价值呢?完全没思路。