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Dalton, Patricio S. (Patricio Santiago), Ghosal, Sayantan and Mani, Anandi (2010) Poverty and aspirations failure. Working Paper. Coventry, UK: Department of Economics, University of Warwick. CAGE Online Working Paper Series, Volume 2010 (Number 22).
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Text (Working paper)
WRAP_22.2010_revised.pdf - Published Version Download (609Kb) | Preview |
Official URL: http://www2.warwick.ac.uk/fac/soc/economics/resear...
Abstract
We develop a model of internal constraints to show that a greater degree of initial disadvantage
results in a higher likelihood of low aspirations and low achievement. Our model and
results are supported by evidence from anthropology, sociology and social psychology. Our
analysis suggests that internal constraints are a key ingredient in perpetuating poverty traps.
We show that a poor person will choose to restrict her cognitive window (the set of other individuals
who are her role models) and study the conditions under which a role model could
alter her aspirations and achievement. We show how enodgenously chosen cognitive windows
interact with the inital distribution of status to determine whether or not a society is connected,
and hence the transmission of aspirations across individuals in that society. Our work provides
a normative justification for programs that aim at empowering disadvantaged individuals by
directly shocking their aspirations.
| Item Type: | Working or Discussion Paper (Working Paper) | ||||
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| Alternative Title: | |||||
| Subjects: | H Social Sciences > HB Economic Theory H Social Sciences > HN Social history and conditions. Social problems. Social reform |
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| Divisions: | Faculty of Social Sciences > Economics | ||||
| Library of Congress Subject Headings (LCSH): | Vocational interests , Poverty, Role models | ||||
| Series Name: | CAGE Online Working Paper Series | ||||
| Publisher: | Department of Economics, University of Warwick | ||||
| Place of Publication: | Coventry, UK | ||||
| Official Date: | September 2010 | ||||
| Dates: |
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| Volume: | Volume 2010 | ||||
| Number: | Number 22 | ||||
| Number of Pages: | 46 | ||||
| Institution: | University of Warwick | ||||
| Status: | Not Peer Reviewed | ||||
| Publication Status: | Published | ||||
| Funder: | Economic and Social Research Council (Great Britain) (ESRC) | ||||
| Grant number: | RES-167-25-0364 (ESRC) |
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