1
Return

Income Inequality Depresses Support for Higher Minimum Wages

delete2025-05-29
delete0
PRE
AI
D
Daniela Goya‐Tocchetto
M
M. Asher Lawson *
S
Shai Davidai
R
Richard P. Larrick
DOI:10.1037/xge0001772delete
deleteOriginal
deleteOriginal request for help
deleteShare
deleteSave
Abstract

Abstract

En 中文
The minimum wage can be an effective policy tool for mitigating economic inequality, but public demand for higher minimum wages has not kept up with rising levels of income disparities. In our first study using protest attendance data over a six-and-a-half-year period in the United States (N = 130,562), we find evidence that higher economic inequality was associated with fewer and less well-attended protests targeted at changing economic conditions and raising minimum wages. We corroborate this finding across eight laboratory experiments (N = 7,286)-including a U.S. nationally representative sample-finding causal evidence that higher levels of income inequality decrease support for higher minimum wages. We propose that this decreased support results from a psychological tendency to engage in is-to-ought reasoning, where individuals use information about how much people actually earn to determine how much they should earn. We conclude by introducing an intervention to mitigate the effects of this phenomenon and discuss implications for policy communication.
Keywords:
inequality
minimum wages
protests
evaluation mode

Journal

J
Journal of Experimental Psychology-General
IF:
3.5
Papers:
2.9K
Citations:
1.6W

Organization

U
Univ Buffalo
Scholars:
384
Papers: 237
Citations: 44
U
Univ North Carolina Chapel Hill
Scholars:
1.5K
Papers: 760
Citations: 228
Cited Papers

Cited Papers

Citing Papers

Citing Papers