Self-Esteem and Labour Market Choices

45 Pages Posted: 2 Feb 2005

See all articles by David Andolfatto

David Andolfatto

Simon Fraser University (SFU) - Department of Economics; Federal Reserve Bank of St. Louis

Steeve Mongrain

Simon Fraser University (SFU) - Department of Economics

Gordon M. Myers

Simon Fraser University (SFU) - Department of Economics

Abstract

We assume that people have beliefs about their abilities, that these generate self-esteem, and that self-esteem is valued intrinsically. We consider the implications for an individual's incentive to manage their self-esteem in the labour market. Employing a model of labour market search with Bayesian updating, we show that a self-esteem sensitive individual has an incentive to avoid the situation (in avoiding the truth), self-handicap (in avoiding the truth without avoiding search), to employ downward comparison (in manipulating the truth), and engage in defensive pessimism (in avoiding materially damaging strategies like self-handicapping).

Keywords: Self-esteem, search, labour market

JEL Classification: D83, J64

Suggested Citation

Andolfatto, David and Mongrain, Steeve and Myers, Gordon M., Self-Esteem and Labour Market Choices. Available at SSRN: https://ssrn.com/abstract=658464 or http://dx.doi.org/10.2139/ssrn.658464

David Andolfatto

Simon Fraser University (SFU) - Department of Economics ( email )

8888 University Drive
Burnaby, British Columbia V5A 1S6
Canada
604 291-5825 (Phone)
604 291-5944 (Fax)

Federal Reserve Bank of St. Louis ( email )

411 Locust St
Saint Louis, MO 63011
United States

Steeve Mongrain (Contact Author)

Simon Fraser University (SFU) - Department of Economics ( email )

8888 University Drive
Burnaby, British Columbia V5A 1S6
Canada
604-291-3547 (Phone)
604-291-5944 (Fax)

HOME PAGE: http://www.sfu.ca/~mongrain/

Gordon M. Myers

Simon Fraser University (SFU) - Department of Economics ( email )

8888 University Drive
Burnaby, British Columbia V5A 1S6
Canada
604-291-3409 (Phone)

HOME PAGE: www.sfu.ca/~gmmyers

Register to save articles to
your library

Register

Paper statistics

Downloads
168
Abstract Views
1,188
rank
175,390
PlumX Metrics