Social identity and preferences

Social identity and preferences

by Daniel J. Benjamin

Part of NBER working paper series -- no. 13309.

2007
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In two laboratory experiments, we examine whether norms associated with one's social identity affect time and risk preferences. When we make ethnic identity salient to Asian-American subjects, they make more patient choices. When we make race salient to black subjects, non-immigrant blacks (but not immigrant blacks) make more risk-averse choices. Making gender identity salient causes choices to conform to gender norms the subject believes are relatively more common. Our results provide evidence that identity effects play a role in shaping U.S. demographic patterns in economic behaviors and outcomes.

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