Reed's law Guide, Meaning , Facts, Information and Description

Reed's law is the assertion of David P. Reed that the utility of large networks, particularly social networks, can scale exponentially with the size of the network.

The reason for this is that the number of possible sub-groups of network participants is , where is the number of participants. This grows much more rapidly than either

• the number of participants, , or
• the number of possible pair connections, (which follows Metcalfe's law)

so that even if the utility of groups being available to be joined is very small on a per-group basis, eventually the network effect of potential group membership can dominate the overall economics of the system.

Table of contents

1 Derivation of the number of possible subgroups 2 See also 3 External links

Derivation of the number of possible subgroups

Given a set A which represents a group of people, and whose members are persons, then the number of people in the group is the cardinality of set A.

The set of all subsets of A is the power set of A, denoted as :

.

It is known in set theory that the cardinality of is equal to 2 to the power of the cardinality of ''A'\', i.e.

.

However, A itself belongs to its own power set but if A is considered as a group of people, then A is not a proper "subgroup" of itself:

,

where .

Then, any members of which are singletonss are not considered "groups of people". Since each individual in a group can form a singleton, then the number of singletons in A is equal to the cardinality of A:

But notice that — using Big O notation — the function is as , so that it is exponential.

See also

• Coase's Penguin
• social capital
• Metcalfe's law
• Content is Not King
• List of eponymous laws

External links

• That Sneaky Exponential—Beyond Metcalfe's Law to the Power of Community Building

This is an Article on Reed's law. Page Contains Information, Facts Details or Explanation Guide About Reed's law

	Web www.E-paranoids.com