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on Neuroeconomics |
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Issue of 2019‒05‒13
two papers chosen by |
| By: | Sharma Smriti; Nordman Christophe; Sarr Leopold |
| Abstract: | We use a recent first-hand linked employer-employee survey covering the formal sector of Bangladesh to explain gender wage gaps by the inclusion of measures of cognitive attainment and personality traits.Our results show that cognitive skills have greater explanatory power than personality traits in determining mean wages. Unconditional quantile regressions show that cognitive attainment as measured by reading and numeracy seems to confer different benefits on women and men respectively.The Big Five trait of agreeableness is positively associated with females’ wages across the wage distribution. Decompositions show that about 30–40 per cent of the wage gap can be explained by characteristics along the wage distribution.Cognitive skills cumulatively account for a larger share of the explained component than personality traits do, and matter more at lower percentiles. However, together these cognitive and socio-emotional skills matter to a lesser degree than factors such as one’s tenure in the firm. |
| Keywords: | Cognitive ability,Gender gap,Income inequality,Personality traits |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:unu:wpaper:wp2018-77&r=all |
| By: | Nicolas Jacquemet (CES - Centre d'économie de la Sorbonne - CNRS - Centre National de la Recherche Scientifique - UP1 - Université Panthéon-Sorbonne, PSE - Paris School of Economics); Stephane Luchini (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique - AMU - Aix Marseille Université - EHESS - École des hautes études en sciences sociales); Antoine Malézieux (BETA - Bureau d'Économie Théorique et Appliquée - INRA - Institut National de la Recherche Agronomique - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique, University of Exeter Business School - University of Exeter Business School); Jason Shogren (Departement Economy and Finance, University of Wyoming - UW - University of Wyoming) |
| Abstract: | Why do people pay taxes? Rational choice theory has fallen short in answering this question. Another explanation, called "tax morale", has been promoted. Tax morale captures the behavioral idea that non-monetary preferences (like norm-submission, moral emotions and moral judgments) might be better determinants of tax compliance than monetary trade-offs. Herein we report on two lab experiments designed to assess whether norm-submission, moral emotions (e.g., affective empathy, cognitive empathy, propensity to feel guilt and shame) or moral judgments (e.g., ethics principles, integrity, and moralization of everyday life) can help explain compliance behavior. Although we find statistically significant correlations of tax compliance behavior with empathy and shame, the economic significance of these correlations are low more than 80% of the variability in compliance remains unexplained. These results suggest that tax authorities should focus on the institutional context, rather than individual preference characteristics, to handle tax evasion. |
| Keywords: | tax evasion,tax morale,morality,personality traits,psychometrics |
| Date: | 2019–02–05 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-02008071&r=all |