تجزیه و تحلیل اقتصادی از محرومیت اجتماعی و نابرابری
|کد مقاله||سال انتشار||مقاله انگلیسی||ترجمه فارسی||تعداد کلمات|
|28885||2011||7 صفحه PDF||سفارش دهید||محاسبه نشده|
Publisher : Elsevier - Science Direct (الزویر - ساینس دایرکت)
Journal : The Journal of Socio-Economics, Volume 40, Issue 3, May 2011, Pages 217–223
This article proposes a theoretical framework for understanding the nature of institutions, contributing to the emergence of the divergence in earnings. In the article, social exclusion is considered as a direct consequence of unequalized opportunities. The population consists of both qualified and unqualified workers. The article shows that there is a threshold level of average performance by unqualified workers below which only qualified workers can earn the higher wage rate. Social exclusion shapes the structure of incentives, and thereby can in itself be the cause of differences in economic performance.
The idea that institutions matter has gained wide currency in recent years. Institutions are profoundly social, and are constituted by collectivities of people who associate with each other.1 Institutions are the laws, informal rules, and conventions that give a durable structure to social interactions among the members of a population (Bowles, 2004). Institutional structure shapes beliefs about how people behave. Institutions constrain group members by forbidding some alternatives and choices of actions, and empower them by making some alternatives and choices of action possible. But is the concept of institutions useful in studying inequality? This article presents a theory of institutional inequality to understand the structure of labor market inequality. The theory shows how differences in institutions lead to differences in economic outcomes. Institutions may result in low levels of economic performance. Institutional aspects of poverty encompass the wide range of hierarchical systems and relationships in society based on factors as varied as social class, gender, race, ethnicity, age, language, and region. A discriminatory regime affects the structure of opportunities open to different social groups.2 Ethnic minorities and women are denied access to the lucrative occupations and, thus, are represented in low-paying jobs. The key idea is to relate wage payment differentials to unequalized opportunities on entry into occupations. A large number of economic literature has studied the effect of technological innovation on the distribution of income. On the contrary, this article proposes an analytical framework for understanding the nature of institutions, contributing to the emergence of the divergence in earnings. It aims to understand how economic inequality is structured by demonstrating the effects of the institutional environment on economic performance. Labor earnings are the most important component of income for workers. The level of wage inequality plays an important role for understanding poverty and social stratification. The concept of social exclusion has encouraged scholars to consider simultaneously the economic, social, and political dimensions of deprivation.3 Originating in France in the 1970s and diffusing rapidly in Europe, the framework is concerned with full participation in all aspects of social life as an end in itself. Social exclusion is the opposite of social inclusion which reflects the perceived importance of being part of society. A decline of inclusion generally falls most heavily on the economically disadvantaged. The disadvantaged have a right to inclusion in society. Discussions of exclusion tend to focus on the phenomena of poverty, unemployment, low educational attainment, and barriers to social and political systems. Social exclusion is a repute of social bonds. The least skilled have huge difficulties in finding a decent job, which gives them the feeling that they are not useful members of society. They choose from an impoverished opportunity set. Work fulfills the desire to have a place in society. An individual's non-participation in society is due to circumstances outside his or her control. Social exclusion is, however, a contested term, lacking real agreement over either its definition or its causes. Socially excluded individuals suffer generalized disadvantage in terms of education, training, employment, housing, financial resources, etc. Their chances of gaining access to the major social systems are substantially less than those of the rest of the population. The 1990s marked the era when social exclusion discourse really proliferated in many European countries. A core element of New Labor's approach in Britain, articulated by Blair on his election in 1997, is “education, education, education”, which aims to create citizens fit for the jobs that exist. People with low-wage prospects would improve their qualifications through additional education to gain a higher wage. Social exclusion is therefore seen as a product of under-achievement, which assumes that poverty is self-induced or the result of personal failure. In this article, we see social exclusion as a direct consequence of unequalized opportunities. The impoverishment of opportunity sets itself is not seen as the individual's own free choice. There is a substantial minority in the workforce whose expected earnings do not constitute an income sufficient to enable them take part in the mainstream of their societies. Non-participation in society means non-participation in the market economy. On the one hand, technological or organizational change strengthens the tendency toward worker participation; on the other hand, there remains a problem of social exclusion for those who are outside. Unequalized opportunities intrude on the internal structures of organizations. All people should get the opportunity to realize their full human potential, or to realize their own goals and aspirations. This relates to human dignity. Social exclusion can be related to Sen's concept of capability. Individuals purchase commodities with given characteristics and capabilities (Sen, 1985). In Sen's view, individuals are composed of ‘functionings’. Achieved functionings make up a person's well-being, and an individual's capability to achieve functionings, therefore, represents the individual's true freedom. Thus, social exclusion can be defined as a process leading to a state of functioning deprivations. Economists usually think of discrimination as a set of restrictions on the actions of an oppressed group that prevents members from earning a competitive market return on their abilities. If these artificial barriers are lowered, they expect the standard of living of the discriminated group to converge rapidly with that of the general population. However, some societal discriminatory affects endure once legal barriers are removed. Why have income differentials not been eliminated? The source of persistence in wage differentials lies in the influence of social categories on the individual. At a very basic level, most people are aware of how they are differentiated from their surroundings. People often receive themselves as members of social groups. Institutions are not only external to individuals. Institutions are internalized by group members as identities and selves, and they are displayed as personalities.4 In the identity model of social exclusion (Akerlof and Kranton, 2000), legal quality may not be enough to eliminate racial disparities, and there can be a permanent equilibrium of racial inequality. Stereotype-based expectations affect individual performance in the domain of the stereotype. Loury (2002) argues that the ideological legacy of slavery in the U.S. stigmatizes blacks and that stigma is a major factor in the persistence of social inequality. The legacy of discrimination is ‘spoiled’ collective identities. According to Hoff and Pandey (2006), social identity creates a pronounced economic disadvantage for a group through its effect on individuals’ expectations. In their investigation, the public revelation of social identity (caste) affects cognitive task performance. Indian society is divided into groups called castes.5 The caste system is a form of social stratification that satisfies a given number of features. There is a broad ranking of castes based on the occupations. Occupation choices are restricted, and members of a caste usually follow occupations that the caste has a monopoly over. In Hoff and Pandey (2006), publicly revealing individuals’ membership in a group that has been or is being discriminated against impedes the group's ability to respond to economic opportunities. Social identity affects behavior largely because it affects expectations. Belief systems that are the legacy of historical conditions of inequality may give rise to behaviors that reproduce the inequality. The aggregate effect on the society of expectations associated with caste can be viewed as negative. This article is organized as follows. Section 2 offers some theoretical background on economic inequality. Section 3 introduces the formal model. Multiple equilibrium outcomes are characterized in Section 4. Section 5 discusses why economic performance differs among individuals. Section 6 concludes the article.
نتیجه گیری انگلیسی
This article proposes an analytical framework for understanding the nature of institutions, contributing to the emergence of the divergence in earnings. Institutions shape belief systems about how people behave. A large number of economic literature has studied the effect of technological innovation on the distribution of income. In contrast, the present article shows how differences in institutions can lead to differences in economic outcomes. We view differences in norms tied to social identity as differences in economic outcomes. The phenomenon of increasing non-participation in the workforce by the less-skilled is worthy of serious consideration. The focus on institutional forces differs from explanations that are based on the simple supply and demand model. In this article, social exclusion is considered as a direct consequence of unequalized opportunities. On the one hand, technological change strengthens the tendency toward worker participation; on the other hand, there remains a problem of social exclusion for those who are outside. The source of persistence in wage differentials lies in the influence of social categories on the individual. Institutions are not only external to individuals. Institutions are internalized by group members as social identities. Different institutions generate different belief systems, and influence equilibrium outcomes. Social identity may create a pronounced economic disadvantage for a group through its effect on individuals’ belief systems. The treatment that individuals anticipate in the labor market does influence their perceived benefits. A stereotype can influence economic behavior in ways that cause the beliefs to become self-fulfilling. In the model, the population consists of two different groups, qualified workers and unqualified ones. In the economy with some lower level of average performance by unqualified workers, only qualified workers are able to earn the higher wage rate in the modern organization. The decline in average performance by unqualified workers implies negative expectations of institutional inequality. An exogenous decrease in the behavioral parameter can increase economic inequality. Social exclusion shapes the structure of incentives, and thereby can in itself be the cause of differences in economic performance. On the other hand, in the economy with some higher level of average performance by unqualified workers, all earn the same wage rate in the traditional organization. The higher average performance by unqualified workers employed in the traditional organization, the lower the level of inequality in earnings. Thus, there is a threshold level of average performance by unqualified workers below which the divergence in earnings emerges.