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  • 1
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    Munich: Center for Economic Studies and Ifo Institute (CESifo)
    Publication Date: 2018-01-17
    Description: To understand the socio-economic enrollment gap in university attendance, we elicit students’ beliefs about the benefits of university education in a sample of 2,540 secondary school students. Our choice model estimates reveal that perceived non-pecuniary benefits explain a large share of the variation in intentions to enroll. Expected job satisfaction, parental approval, and perceptions about social life during the 3-4 years after finishing secondary school are most important. Students with low socio-economic status perceive pecuniary and non-pecuniary returns to be lower. Beliefs explain 48% of the socio-economic gap in intentions to enroll, while perceived non-pecuniary returns alone account for 37%.
    Keywords: I24 ; I26 ; J13 ; J24 ; J62 ; ddc:330 ; higher education ; beliefs ; socio-economic inequality ; intergenerational mobility
    Language: English
    Type: doc-type:workingPaper
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  • 2
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    London: Institute for Fiscal Studies (IFS)
    Publication Date: 2018-02-07
    Description: We study students' motives for educational attainment in a unique survey of 885 secondary school students in the UK. As expected, students who perceive the monetary returns to education to be higher are more likely to intend to continue in full-time education. However, the main driver is the perceived consumption value, which alone explains around half of the variation of the intention to pursue higher education. Moreover, the perceived consumption value can account for a substantial part of both the socio-economic gap and the gender gap in intentions to continue in full-time education.
    Keywords: I24 ; I26 ; J13 ; J24 ; J62 ; ddc:330 ; education ; perceived returns ; consumption value of education ; beliefs ; higher education ; UK ; gender gap ; income gradient
    Language: English
    Type: doc-type:workingPaper
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  • 3
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    Munich: Center for Economic Studies and Ifo Institute (CESifo)
    Publication Date: 2018-01-17
    Description: We propose a new framework for the study of the psychological foundation of party identification. We draw a distinction between the part of an individual’s party preference that is stable throughout adult life and the dynamic part responding to lifecycle events and macro shocks. We theorize that the Big Five personality traits exert a causal effect on the stable part of an individual’s party preference and provide evidence from a large nationally representative English panel dataset in support of this theory. We find that supporters of the major parties (Labour, the Conservatives and the Liberal Democrats) have substantively different personality traits. Moreover, we show that those not identifying with any party, who are close to holding the majority, are similar to those identifying with the Conservatives. We show that these results are robust to controlling for cognitive skills and parental party preferences, and to estimation on a subsample of siblings. The relationship between personality traits and party identification is stable across birth cohorts.
    Keywords: D79 ; ddc:330 ; Big Five personality traits ; party identification ; partisanship ; England
    Language: English
    Type: doc-type:workingPaper
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  • 4
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    Heidelberg: Springer
    Publication Date: 2019-04-19
    Description: We introduce coordination failures driven by beliefs regarding the presence of taste discriminators as a channel of discrimination in productive activities requiring the input of multiple agents. We show that discrimination can persist under perfectly observable ability, when taste for discrimination has died out, and under absence of discriminatory social norms. Empirically we analyze the market for self-employment-an activity commonly requiring inputs from multiple agents. Consistent with the theoretical predictions, beliefs about discrimination are a significant correlate of self-employment rates, as well as the cost and success of establishing productive relations for blacks in the US.
    Keywords: C73 ; D83 ; J71 ; ddc:330 ; Discrimination ; Coordination failure ; Beliefs ; Inequality
    Language: English
    Type: doc-type:article
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  • 5
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    Munich: Center for Economic Studies and Ifo Institute (CESifo)
    Publication Date: 2019-12-04
    Description: We document a remarkable increase over the past two and a half decades in the fraction of people in England feeling close to no party – the rise of the “no party” – which, today, is close to constituting an absolute majority. We develop a new method to distinguish between age, period, and cohort effects based on individual longitudinal survey data and we show that the rise of the “no party” is driven much more by a secular trend (period effects) than by generation replacement (cohort effects). We show that the increase in “no party” supporters and in their turnout behavior can explain 80% of the observed decline in election turnout in England over the period. A detailed investigation of the dynamics of party identification shows that party political disengagement has become more persistent over time.
    Keywords: D72 ; ddc:330 ; age-period-cohort effects ; party identification ; democracy ; England ; Secular Disengagement Hypothesis
    Language: English
    Type: doc-type:workingPaper
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  • 6
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    Kiel und Hamburg: ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften, Leibniz-Informationszentrum Wirtschaft
    Publication Date: 2017-01-27
    Description: In this paper, we study parental beliefs about the technology which maps parental investments into future child outcomes. We document that parents perceive late investments as more productive than early investments, and that they perceive investments in different time periods as substitutes. These beliefs contrast with findings in the empirical literature which suggest that early investments are more productive and are complementary to late investments. We show that parental beliefs about the returns to investments vary substantially across the population and that individual beliefs are predictive of actual investment decisions. Moreover, we document that parental beliefs about the productivity of investments differ significantly across socio-economic groups. Perceived returns to parental investments are positively related to household income, thereby potentially contributing to intergenerational earnings persistence.
    Keywords: I26 ; I24 ; J13 ; ddc:330
    Language: English
    Type: doc-type:conferenceObject
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  • 7
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    Bonn: Institute of Labor Economics (IZA)
    Publication Date: 2018-07-17
    Description: Childhood obesity has adverse health and productivity consequences and poses negative externalities to health services. Its increase in recent decades can be traced back to unhealthy habits acquired in the household. We investigate whether parental beliefs play a role by eliciting beliefs about the returns to a recommended-calorie diet and regular exercise using hypothetical investment scenarios. We show that perceived returns are predictive of health investments and outcomes, and that less educated parents perceive the returns to health investments to be lower, thus contributing to the socioeconomic inequality in health outcomes and the intergenerational transmission of obesity.
    Keywords: D19 ; I10 ; I12 ; I14 ; ddc:330 ; parental investments ; health ; beliefs ; inequality ; equality of opportunity ; obesity
    Language: English
    Type: doc-type:workingPaper
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  • 8
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    Bonn: Institute for the Study of Labor (IZA)
    Publication Date: 2016-08-27
    Description: We study students' motives for educational attainment in a unique survey of 885 secondary school students in the UK. As expected, students who perceive the monetary returns to education to be higher are more likely to intend to continue in full-time education. However, the main driver is the perceived consumption value, which alone explains around half of the variation of the intention to pursue higher education. Moreover, the perceived consumption value can account for a substantial part of both the socio-economic gap and the gender gap in intentions to continue in full-time education.
    Keywords: I24 ; I26 ; J13 ; J24 ; J62 ; ddc:330 ; education ; perceived returns ; consumption value of education ; beliefs ; higher education ; UK ; gender gap ; income gradient
    Language: English
    Type: doc-type:workingPaper
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  • 9
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    Helsinki: The United Nations University World Institute for Development Economics Research (UNU-WIDER)
    Publication Date: 2020-01-24
    Description: In this paper, we analyse which channels influence individual preferences concerning the choice of the official language in Zambia. We develop a theoretical framework, which is tested using data on elicited beliefs about the effects of changes in Zambia's language policy on schooling outcomes, income, and social cohesion. In general, support for the use of local languages in education and government administration is low. We find that the perceived ease of learning in a local language compared to English, and economic expectations in terms of effects on income are important determinants of the preference for the use of a local language as official language. Individuals in fear of discrimination or disadvantages arising from the use of indigenous language are less likely to prefer these as official languages. However, while we do not find a systematic bias caused by the (lack of ) information about other countries' language policies, we do find that general knowledge of language policies is remarkably low. Our reading of the evidence is that individuals conflate knowledge with the medium of knowledge, and therefore prefer English as an official language despite its relative distance to their own language(s).
    Keywords: ddc:330 ; language policy ; Zambia ; discrimination ; beliefs ; education policy ; minorities ; fractionalization ; local languages
    Language: English
    Type: doc-type:workingPaper
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