The Inﬂuence Premium of Monetary Status
41 Pages Posted: 22 Jul 2021
Date Written: July 13, 2021
The transmission of adaptively valuable behaviours requires individuals who are more likely to possess them to have greater inﬂuence over others’ actions. The conferment of high status to the ﬁttest is functional to this objective. We ask to what extent status recognition and the attribution of status privileges are hard wired in humans’ psychology, in a world in which status imperfectly signals underlying cognitive ability due to the accumulation and transmission of status sources. We ﬁnd that randomly assigned high status grants individuals greater inﬂuence over others’ actions than randomly assigned low status. This ﬁnding does not emerge however when the advisor’s status is linked to their cognitive ability.
Keywords: C91, D02, D31
JEL Classification: Inequality, status, social inﬂuence, ability
Suggested Citation: Suggested Citation