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To segregate, or to discriminate - that is the question: experiment on identity and social preferences

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  • Mariana Blanco
  • José-Alberto Guerra

Abstract

How do various sources of social identity affect segregation and discrimination decisions? In our laboratory experiment, social identity originates either from similar preferences, income, ability, randomly or from shared socioeconomic status. For the latter, we exploit Colombia's unique (public information) stratification system which assigns households to socioeconomic strata based on its residential block amenities. Subjects decide with whom to interact in a Dictator and Trust Game. We find high socioeconomic status senders segregate against out-group receivers in the Dictator Game, while low socioeconomic ones do so in the Trust Game. This segregation pattern is partly explained by payoff-maximizing behavior. In the Trust Game, we gather evidence for statistical discrimination. In the Dictator Game, evidence points to a taste for redistribution when identity originates from socioeconomic status or income level. No matter the source of identity, our subjects expect being segregated but not discriminated against.

Suggested Citation

  • Mariana Blanco & José-Alberto Guerra, 2020. "To segregate, or to discriminate - that is the question: experiment on identity and social preferences," Documentos CEDE 18355, Universidad de los Andes, Facultad de Economía, CEDE.
    • Handle: RePEc:col:000089:018355
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    References listed on IDEAS

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    Cited by:

    1. Boris Ginzburg & José-Alberto Guerra, 2021. "Guns, pets, and strikes: an experiment on identity and political action," Documentos CEDE 19932, Universidad de los Andes, Facultad de Economía, CEDE.
    2. Diego Aycinena & Mariana Blanco, 2023. "Negative Income Shocks, COVID, and Trust," Documentos de Trabajo 20802, Universidad del Rosario.

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    More about this item

    Keywords

    Socioeconomic status; stratification; segregation; discrimination; laboratory experiment;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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