Inequality and Relative Ability Beliefs
AbstractIn this study I present experimental evidence of a novel channel yielding inequality persistence. In an initial experiment, results suggest that individuals respond to salient inequality by adjusting their performance beliefs to justify the inequality. Subsequent experiments reveal: i) that it is beliefs about relative ability, an ostensibly stable trait, rather than effort provision that respond to inequality; and that ii) unequal pay in an initial task affects willingness to compete on a subsequent task for male participants. Taken together, these patterns may cause inequality to become self-perpetuating. I conclude by discussing some implications of these findings.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Einaudi Institute for Economics and Finance (EIEF) in its series EIEF Working Papers Series with number 1305.
Length: 53 pages
Date of creation: 2013
Date of revision: Mar 2013
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-03-30 (All new papers)
- NEP-EVO-2013-03-30 (Evolutionary Economics)
- NEP-EXP-2013-03-30 (Experimental Economics)
- NEP-HPE-2013-03-30 (History & Philosophy of Economics)
- NEP-HRM-2013-03-30 (Human Capital & Human Resource Management)
- NEP-LTV-2013-03-30 (Unemployment, Inequality & Poverty)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Caroline M. Hoxby & Christopher Avery, 2012. "The Missing "One-Offs": The Hidden Supply of High-Achieving, Low Income Students," NBER Working Papers 18586, National Bureau of Economic Research, Inc.
- Uri Gneezy & Kenneth L. Leonard & John A. List, 2008.
"Gender Differences in Competition: Evidence from a Matrilineal and a Patriarchal Society,"
NBER Working Papers
13727, National Bureau of Economic Research, Inc.
- Uri Gneezy & Kenneth L. Leonard & John A. List, 2009. "Gender Differences in Competition: Evidence From a Matrilineal and a Patriarchal Society," Econometrica, Econometric Society, Econometric Society, vol. 77(5), pages 1637-1664, 09.
- Uri Gneezy & Kenneth Leonard & John List, 2009. "Gender differences in competition: Evidence from a matrilineal and a patriarchal society," Artefactual Field Experiments, The Field Experiments Website 00049, The Field Experiments Website.
- Grossman, Zachary & Owens, David, 2012.
"An unlucky feeling: Overconfidence and noisy feedback,"
Journal of Economic Behavior & Organization, Elsevier,
Elsevier, vol. 84(2), pages 510-524.
- Grossman, Zachary & Owens, David, 2010. "An Unlucky Feeling: Overconfidence and Noisy Feedback," University of California at Santa Barbara, Economics Working Paper Series qt13r2f3gt, Department of Economics, UC Santa Barbara.
Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Entrenching inequality
by chris dillow in Stumbling and Mumbling on 2013-04-04 14:11:33
- On endogenous preferences
by chris dillow in Stumbling and Mumbling on 2013-05-06 12:51:02
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Facundo Piguillem).
If references are entirely missing, you can add them using this form.