Social status and motivated beliefs

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Abstract

This paper shows that social status determines economic achievement through a psychological mechanism. Specifically, social status influences the way individuals form beliefs about their abilities and these beliefs are, in turn, crucial for achievement. A theoretical framework formalizes this mechanism. Data from a cohort study and from two controlled experiments corroborate its existence and quantify its magnitude. This study highlights the role of social status in creating constraints that are internal to the individual and that have the potential to impair economic success.
Original languageEnglish
Article number104662
JournalJournal of Public Economics
Volume211
DOIs
Publication statusPublished - Jul 2022

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