Believing in Economic Theory: Sex, Lies, Evidence, Trust and Ideology
AbstractIn many empirical studies, ideology significantly predicts political outcomes, even after controlling for interests. This may reflect ideology’s influence on descriptive beliefs about the workings of the economic world. We investigate these beliefs about supply and demand theory, using survey methods and an experimental demonstration. As expected, relatively liberal respondents have more skeptical ex-ante beliefs (before viewing the experiment) about the theory. Surprisingly, however, relatively conservative respondents update beliefs (after viewing the experiment) so much less strongly that they have more skeptical ex-post beliefs. We explore and discount alternative explanations for these relationships between ideology and beliefs.
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Bibliographic InfoPaper provided by Department of Economics, University of Houston in its series Working Papers with number 2004-06 Classification-.
Length: 46 pages
Date of creation: Oct 2004
Date of revision:
Other versions of this item:
- Andrew Austin & Nathaniel T. Wilcox, 2004. "Believing in Economic Theory: Sex, Lies, Evidence, Trust and Ideology," CERGE-EI Working Papers wp238, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
- A11 - General Economics and Teaching - - General Economics - - - Role of Economics; Role of Economists
- A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
- C42 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Survey Methods
- C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-09-30 (All new papers)
- NEP-EXP-2006-09-30 (Experimental Economics)
- NEP-HPE-2006-09-30 (History & Philosophy of Economics)
- NEP-PKE-2006-09-30 (Post Keynesian Economics)
- NEP-POL-2006-09-30 (Positive Political Economics)
- NEP-SOG-2006-09-30 (Sociology of Economics)
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