2019
DOI: 10.1016/j.jebo.2019.04.027
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Occupation-induced status, social norms, and economic growth

Abstract: We analyse a monetary growth model where entrepreneurs borrow funds to invest in projects that produce capital goods. In addition to their varying pecuniary returns, different projects also vary with respect to the status they confer to the entrepreneurs who operate them. We show that (i) social status increases the growth rate, but this effect is mitigated by a social norm that inversely links overall levels of employment in the high-return project with the status conferred to it; (ii) the combined effect of … Show more

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Cited by 7 publications
(3 citation statements)
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“…Economic growth, its cyclic character, specifics in developed and developing countries, contradiction of economic growth with social development and necessity for overcoming it are studied in the works of Abdelhalim and Eldin (2019), Ali Asadullah (2019), Au (2019), Bethencourt and Kunze (2019), Burhan et al (2018), Chen et al (2018), Conroy and Weiler (2019), Cumming and Von Cramon-Taubadel (2018), Hamid et al (2019), Khan et al (2019), Kiuru and Inkinen (2019), Klofsten et al (2019), Kontogiannis et al (2019), Long and Ji (2019), Melnikas (2019), Naderi et al (2019), Pereira et al (2020), Pulido and Mora (2019), Rathnakar (2019), Sandberg et al (2019), Shastri et al (2019), Sorj and Fraga (2020), Summers et al (2019), Sun et al (2018), Sunarsih et al (2019), Xiong et al (2020), Zhang et al (2019) and Zhen and Tian (2019).…”
Section: Literature Reviewmentioning
confidence: 99%
“…Economic growth, its cyclic character, specifics in developed and developing countries, contradiction of economic growth with social development and necessity for overcoming it are studied in the works of Abdelhalim and Eldin (2019), Ali Asadullah (2019), Au (2019), Bethencourt and Kunze (2019), Burhan et al (2018), Chen et al (2018), Conroy and Weiler (2019), Cumming and Von Cramon-Taubadel (2018), Hamid et al (2019), Khan et al (2019), Kiuru and Inkinen (2019), Klofsten et al (2019), Kontogiannis et al (2019), Long and Ji (2019), Melnikas (2019), Naderi et al (2019), Pereira et al (2020), Pulido and Mora (2019), Rathnakar (2019), Sandberg et al (2019), Shastri et al (2019), Sorj and Fraga (2020), Summers et al (2019), Sun et al (2018), Sunarsih et al (2019), Xiong et al (2020), Zhang et al (2019) and Zhen and Tian (2019).…”
Section: Literature Reviewmentioning
confidence: 99%
“…In most societies, social members are often divided into different classes formally or informally due to their different characteristics such as power [ 1 ], property [ 2 ], education [ 3 ], family [ 4 ], race [ 5 ], gender [ 6 ], age [ 7 ], and occupation [ 8 ], that is, there is a system that gives different social members different social status. Occupational stratification is a very key feature to distinguish social members [ 9 , 10 ].…”
Section: Introductionmentioning
confidence: 99%
“…The social factors of economic growth, problems, methods and perspectives of their measuring and management are studied in the works of Bethencourt and Kunze (2019), Conroy and Weiler (2019), Cumming et al (2018), Hamid et al (2019), Khan et al (2019), Kiuru and Inkinen (2019), Klofsten et al (2019), Kontogiannis et al (2019), Long and Ji (2019) Integration processes in economy and their influence on economic growth are studied in the works of Fung (2020), Haabazoka et al (2019), Ivanov et al (2019), Ragulina (2019) and Sergi et al (2019). Thus, we see that the essence and specifics of the social factors have been studied in the existing publications, but their structure and influence on economic growth have not been elaborated enough.…”
Section: Introductionmentioning
confidence: 99%