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The Merit Primacy Effect

Author

Listed:
  • Alexander Cappelen

    (Norwegian School of Economics)

  • Karl Ove Moene

    (University of Oslo)

  • Siv-Elisabeth Skjelbred

    (University of Oslo)

  • Bertil Tungodden

    (Norwegian School of Economics)

Abstract

Do people give primacy to merit when luck partly determines earnings? This paper reports from a novel experiment where third-party spectators have to decide whether to redistribute from a high-earner to a low-earner in cases where earnings are determined by luck and merit. Our main finding is that the spectators assign strong primacy to merit in such situations, and as a result violate basic fairness conditions. We believe that the results shed new light on inequality acceptance in society, in particular by showing how just a little bit of merit can make people significantly more inequality accepting.

Suggested Citation

  • Alexander Cappelen & Karl Ove Moene & Siv-Elisabeth Skjelbred & Bertil Tungodden, 2017. "The Merit Primacy Effect," Working Papers 2017-047, Human Capital and Economic Opportunity Working Group.
    • Handle: RePEc:hka:wpaper:2017-047
    Note: MIP
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    File URL: http://humcap.uchicago.edu/RePEc/hka/wpaper/Cappelen_Moene_etal_2017_merit-primacy-effect.pdf
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    References listed on IDEAS

    as
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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. The lack of demand for equality
      by chris in Stumbling and Mumbling on 2017-06-22 18:00:48

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    Cited by:

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    2. Amasino, Dianna R. & Pace, Davide Domenico & van der Weele, Joël, 2023. "Self-serving bias in redistribution choices: Accounting for beliefs and norms," Journal of Economic Psychology, Elsevier, vol. 98(C).
    3. Benistant, Julien & Villeval, Marie Claire, 2019. "Unethical behavior and group identity in contests," Journal of Economic Psychology, Elsevier, vol. 72(C), pages 128-155.
    4. Rhosyn A. Almond, 2021. "Are you worthy of my help? An experiment in worthiness framing on charitable donations," Working Paper series, University of East Anglia, Centre for Behavioural and Experimental Social Science (CBESS) 21-03, School of Economics, University of East Anglia, Norwich, UK..
    5. Nina Weber, 2021. "Experience and Perception of Social Mobility - a Cross-Country Test of the Self-Serving Bias," LIS Working papers 783, LIS Cross-National Data Center in Luxembourg.
    6. Belguise, Margot & Huang, Yuchen & Mo, Zhexun, 2023. "Non-Meritocrats or Conformist Meritocrats? A Redistribution Experiment in China and France," The Warwick Economics Research Paper Series (TWERPS) 1476, University of Warwick, Department of Economics.
    7. Dezső, Linda & Loewenstein, George, 2019. "Self-serving invocations of shared and asymmetric history in negotiations," European Economic Review, Elsevier, vol. 120(C).
    8. Dezső, Linda & Loewenstein, George, 2019. "Self-serving invocations of shared and asymmetric history in negotiations," European Economic Review, Elsevier, vol. 120(C).
    9. Michele Bernasconi & Enrico Longo & Valeria Maggian, 2023. "When merit breeds luck (or not): an experimental study on distributive justice," Working Papers 2023:02, Department of Economics, University of Venice "Ca' Foscari".
    10. Belguise, Margot & Huang, Yuchen & Mo, Zhexun, 2023. "Non-Meritocrats or Conformist Meritocrats? A Redistribution Experiment in China and France," CEPREMAP Working Papers (Docweb) 2308, CEPREMAP.
    11. Edwin Ip & Andreas Leibbrandt & Joseph Vecci, 2020. "How Do Gender Quotas Affect Workplace Relationships? Complementary Evidence from a Representative Survey and Labor Market Experiments," Management Science, INFORMS, vol. 66(2), pages 805-822, February.
    12. Cohn, Alain & Jessen, Lasse J. & Klašnja, Marko & Smeets, Paul, 2023. "Wealthy Americans and redistribution: The role of fairness preferences," Journal of Public Economics, Elsevier, vol. 225(C).

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    More about this item

    Keywords

    luck; experimental economics; Inequality; fairness;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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