Predictors of accuracy in perceiving informal social networks

One's ability to accurately perceive the existence of informal social networks, referred to as cognitive accuracy, has recently been shown to play an important role in explaining various social phenomena. This paper addresses the research question of what predicts cognitive accuracy by developing a simple theory which links one's accuracy to the amount of information one exchanges with co-workers. To test the predictions of my theory, I analyze friendship and advice network data from a small entrepreneurial firm. The results of the analysis show that predictors of accuracy tend to be workers' degree centrality in the friendship or advice network and demographic and social distances between workers.