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How economic success shapes redistribution: The role of self-serving beliefs, in-group bias and justice principles

Published online by Cambridge University Press:  01 January 2023

Camille Dorin
Affiliation:
Centre d’Economie de la Sorbonne, Université Paris 1.
Marine Hainguerlot
Affiliation:
Centre d’Economie de la Sorbonne, Université Paris 1. Erasmus School of Economics, Erasmus University Rotterdam.
Hélène Huber-Yahi
Affiliation:
Centre d’Economie de la Sorbonne, Université Paris 1. Paris School of Economics.
Jean-Christophe Vergnaud*
Affiliation:
Centre d’Economie de la Sorbonne, Université Paris 1. denotes equal contribution.
Vincent de Gardelle
Affiliation:
Centre d’Economie de la Sorbonne, Université Paris 1. Centre d’Economie de la Sorbonne, Université Paris 1. Paris School of Economics.
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Abstract

In the face of economic inequalities, redistribution of wealth is a key debate for society, and understanding the reasons why individuals may support more or less redistribution can inform this debate. Here we investigate the mechanisms by which experiencing success in a task decreases the support for redistribution of the wealth generated by the task, such that overachievers favor less redistribution than underachievers. In a laboratory experiment, we replicate this effect and explore how it that may be mediatedby an in-group bias, or by changes in individuals’ principles of redistributive justice. Critically, both in-group favoritism and self-serving adjustments of justice principles partially accounted for the effect of status on redistribution choices. Our study thus sheds new light on the various ways by which economic experience affects support for redistribution.

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Type
Research Article
Creative Commons
Creative Common License - CCCreative Common License - BY
The authors license this article under the terms of the Creative Commons Attribution 3.0 License.
Copyright
Copyright © The Authors [2021] This is an Open Access article, distributed under the terms of the Creative Commons Attribution license (http://creativecommons.org/licenses/by/3.0/), which permits unrestricted re-use, distribution, and reproduction in any medium, provided the original work is properly cited.
Figure 0

Figure 1: Summary of the experimental procedure.

Figure 1

Table 1: Summary statistics. Mean (M) and standard deviation (SD) in parentheses. Note that the ‘Same status’ case is the average of the two subcases indicated as ‘Two overachievers’ and ‘Two underachievers’

Figure 2

Figure 2: In-group favoritism and redistribution. The favoritism score is evaluated in disinterested dictator games where the status of the two targets is known to the participant playing the dictator. The residuals of favoritism and redistribution (after taking the effect of status) are plotted against each other. Each dot is a participant (N=144). The blue line and confidence intervals indicate the regression of the redistribution residual against the residual for in-group favoritism score.

Figure 3

Figure 3: Preference for incentives and redistribution. The “incentives preference” score corresponds to the participant’s answer to an opinion survey question pitting preferences towards egalitarian incomes (lower values) against preferences towards incentivized incomes (higher values). The residuals of this incentives preference measure and of the redistribution (after taking the effect of status) are plotted against each other. Each dot is a participant (N=144). The blue line and confidence intervals indicate the regression of the redistribution residual against the residual for the incentives preference score.

Figure 4

Table 2: Results of linear regressions across participants. In column A, redistribution was predicted from status (coded as 1 for underachievers and 0 for overachievers), favoritism (coded positively for favoritism towards in-group members), and attitude (coded positively for preferences towards more incentivized incomes). In column B, the regression was conducted on the residuals after the status effect was subtracted from each variable

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