Relative Deprivation, Personal Income Satisfaction, and Average Well-Being under Different Income Distributions
This paper uses the data gained from an income categorization experiment for five shapes of income distributions to investigate background context effects, relative deprivation, range-frequency theory to explain back- ground context effects, individual income satisfaction versus aggregate well- being, and the dual patterns of income categorization and limen setting. It is shown that background context effects exist and are reflected in relative deprivation. Not all precepts of range-frequency theory can be evidenced. Moreover, we demonstrate a welfare paradox which concerns a contradiction between individual income satisfaction and aggregate well-being. Finally, income categorization and limen setting harbor no response-mode effects, but exhibit conformity.
|Date of creation:||2003|
|Contact details of provider:|| Postal: D-24098 Kiel,Wilhelm-Seelig-Platz 1|
Phone: 0431-880 3282
Fax: 0431-880 3150
Web page: http://www.vwl.uni-kiel.de/en
More information through EDIRC
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.:
- Seidl, Christian, 2002. " Preference Reversal," Journal of Economic Surveys, Wiley Blackwell, vol. 16(5), pages 621-655, December.
- Green, Donald & Jacowitz, Karen E. & Kahneman, Daniel & McFadden, Daniel, 1998.
"Referendum contingent valuation, anchoring, and willingness to pay for public goods,"
Resource and Energy Economics,
Elsevier, vol. 20(2), pages 85-116, June.
- Donald Green & Karen Jacowitz & Daniel Kahneman & Daniel McFadden, 1995. "Referendum Contingent Valuation, Anchoring, and Willingness to Pay for Public Goods," Working Papers _010, University of California at Berkeley, Econometrics Laboratory Software Archive.
- Edward L. Glaeser & Bruce Sacerdote, 2000. "The Determinants of Punishment: Deterrence, Incapacitation and Vengeance," NBER Working Papers 7676, National Bureau of Economic Research, Inc.
- Edward L. Glaeser & Bruce Sacerdote, 2000. "The Determinants of Punishment: Deterrence, Incapacitation and Vengeance," Harvard Institute of Economic Research Working Papers 1894, Harvard - Institute of Economic Research.
- Van Herwaarden, Floor G. & Kapteyn, Arie, 1979. "Empirical comparison of the shape of welfare functions," Economics Letters, Elsevier, vol. 3(1), pages 71-76.
- Seidl, Christian & Camacho Cuena, Eva & Morone, Andrea, 2003. "Income Distributions versus Lotteries Happiness, Response-Mode Effects, and Preference," Economics Working Papers 2003,01, Christian-Albrechts-University of Kiel, Department of Economics.
- Van Praag, Bernard, 1971. "The welfare function of income in Belgium: An empirical investigation," European Economic Review, Elsevier, vol. 11(3), pages 337-369.
- Van Praag, Bernard, 1971. "The welfare function of income in Belgium: An empirical investigation," European Economic Review, Elsevier, vol. 2(3), pages 337-369.
- Kurt Devooght, 2002. "Measuring Inequality by Counting Complaints: Theory and Empirics," STICERD - Distributional Analysis Research Programme Papers 59, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
- Van Praag, Bernard M. S. & Kapteyn, Arie, 1973. "Further evidence on the individual welfare function of income: An empirical investigatiion in The Netherlands," European Economic Review, Elsevier, vol. 4(1), pages 33-62, April.
- Seidl, Christian, 1994. "How sensible is the Leyden individual welfare function of income?," European Economic Review, Elsevier, vol. 38(8), pages 1633-1659, October.
- Steven R. Beckman & Buhong Zheng & John P. Formby & W. James Smith, 2002. "Envy, malice and Pareto efficiency: An experimental examination," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 19(2), pages 349-367. Full references (including those not matched with items on IDEAS)