There is a debate among social scientists regarding the existence of a peer externality commonly referred to as 'acting white.' Using a newly available data set (the National Longitudinal Study of Adolescent Health), which allows one to construct an objective measure of a student's popularity, we demonstrate that there are large racial differences in the relationship between popularity and academic achievement; our (albeit narrow) definition of 'acting white.' The effect is intensified among high achievers and in schools with more interracial contact, but non-existent among students in predominantly black schools or private schools. The patterns in the data appear most consistent with a two-audience signaling model in which investments in education are thought to be indicative of an individual's opportunity costs of peer group loyalty. Other models we consider, such as self-sabotage among black youth or the presence of an oppositional culture, all contradict the data in important ways.
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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number
11334.
Length: Date of creation: May 2005 Date of revision: Handle: RePEc:nbr:nberwo:11334
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Carneiro, Pedro & Heckman, James J., 2003.
"Human Capital Policy,"
IZA Discussion Papers
821, Institute for the Study of Labor (IZA).
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James Heckman & Pedro Carneiro, 2003.
"Human Capital Policy,"
NBER Working Papers
9495, National Bureau of Economic Research, Inc.
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