Albrecht, Konstanze2; Essen, Emma von4; Falk, Armin3; Fliessbach, Klaus3
1 Department of Economics and Business Economics, Aarhus BSS, Aarhus University2 RWTHAachen University3 University of Bonn4 Department of Economics and Business Economics, Aarhus BSS, Aarhus University
This study investigates how induced relative status affects satisfaction with different relative payoffs. We find that participants with lower status are more satisfied with disadvantageous payoff inequalities than equal or higher status participants. In contrast, when receiving an advantageous payoff, status does not affect satisfaction. Our findings suggest that relative social status has important implications for the acceptance of income inequalities.
Frontiers in Psychology, 2014
Status; Social comparison; Relative reward; Satisfaction; Fairness