  Research on peer effects in sociology has been focused for long on social
influence power to investigate the social foundations for social interactions.
This paper extends Xu(2011)'s large--network--based game model by allowing for
social-influence-dependent peer effects. In a large network, we use the
Katz--Bonacich centrality to measure individuals' social influences. To solve
the computational burden when the data come from the equilibrium of a large
network, we extend Aguirregabiria and Mira (2007)'s nested pseudo likelihood
estimation (NPLE) approach to our large network game model. Using the Add
Health dataset, we investigate peer effects on conducting dangerous behaviors
of high school students. Our results show that peer effects are statistically
significant and positive. Moreover, a student benefits more (statistically
significant at the 5% level) from her conformity, or equivalently, pays more
for her disobedience, in terms of peer pressures, if friends have higher
social-influence status.
