Economic inequality enhances inferences that the normative climate is individualistic and competitive

Why do people always want more? Perceived economic inequality leads people to be greedy by enhancing relative deprivation

Greedy phenomena have dramatically increased in societies. However, despite the universality of greedy behaviour, empirical research on the causes of greed is scarce. In this context, we propose that perceived economic inequality may be an important factor influencing greed. Study 1 provided primary evidence of a positive relationship between perceived economic inequality and greed, based on data from a large-scale social survey (CFPS 2018, N = 14,317). Employing well-established questionnaires, Study 2A (N = 200) and Study 2B (N = 399) revealed that perceived economic inequality positively predicts greed, with relative deprivation playing a mediating role. Study 3A (N = 200) and Study 3B (N = 200) manipulated perceived economic inequality to provide causal evidence of its effects on greed and to replicate the mediating effect of relative deprivation. Finally, Study 4 (N = 372), using a blockage manipulation design, showed that the effect of perceived economic inequality on greed significantly decreases when relative deprivation is suppressed. In summary, the results of these six studies consistently suggest that perceived economic inequality positively affects greed and that this effect is mediated by relative deprivation.

Why do we never have enough time? Economic inequality fuels the perception of time poverty by aggravating status anxiety

People in many societies report that they do not have enough time. What makes people feel so rushed? We propose that economic inequality leads to perceived time poverty by increasing status anxiety. Five studies examined this line of reasoning. Study 1 (N = 230) found a positive correlation between economic inequality and perceived time poverty. Study 2 (N = 194) manipulated economic inequality to test the causal link between economic inequality and perceived time poverty. The results showed that people perceived more time poverty in the high (vs. low) economic inequality condition. Study 3 (N = 381) supported the mediating role of status anxiety in the relationship between economic inequality and perceived time poverty using a questionnaire survey. Study 4 (pre-registered; N = 283) manipulated economic inequality in an ecological valid way and yielded further support for the hypotheses. In pre-registered Study 5 (N = 233), a blockage manipulation design was employed to test the mediating effect of status anxiety as a function of economic inequality, which provided causal evidence for the proposed mediator. Our findings suggest that economic inequality serves as a structural societal factor that fuels people's perception of time poverty.

Subjective economic inequality evokes interpersonal objectification

Interpersonal objectification, treating people as tools and neglecting their essential humanness, is a pervasive and enduring phenomenon. Across five studies (N = 1183), we examined whether subjective economic inequality increases objectification through a calculative mindset. Study 1 revealed that the perceptions of economic inequality at the national level and in daily life were positively associated with objectification. Studies 2 and 3 demonstrated a causal relationship between subjective economic inequality and objectification in a fictitious organization and society, respectively. Moreover, the effect was mediated by a calculative mindset (Studies 3-4). In addition, lowering a calculative mindset weakened the effect of subjective inequality on objectification (Study 4). Finally, increased objectification due to subjective inequality further decreased prosociality and enhanced exploitative intentions (Study 5). Taken together, our findings suggest that subjective economic inequality increases objectification, which further causes adverse interpersonal interactions.

Economic Inequality Reduces Preferences for Competent Leaders

It is well-documented that economic inequality can harm political stability and social cohesion. In six experiments (total N = 1,907) conducted in China and the United Kingdom, we tested our primary hypothesis that high (vs. low) economic inequality leads to voters' reduced preferences for competent political leaders. Across studies, this prediction was consistently supported by experimental evidence, regardless of the voter's social status. We also found that high (vs. low) economic inequality indirectly diminished preferences for competent political leaders through heightened perceptions that politicians were less inclined to care about the populace in a highly (vs. lowly) unequal societal context. In essence, our findings underscore the idea that economic inequality curtails voters' preferences for competent political leaders by amplifying their concerns about politicians' indifference to the populace. It also stresses the need for policies and practices to address economic inequality and maintain the vitality of democracy.

Long-term effects of childhood difficulties on depressive symptoms among older adults: Role of adulthood income and income satisfaction

AIM

This study examines how childhood difficulties are associated with late-life depression. Using the concept of agency within the structure of the life course perspective, this study investigates how subjective income satisfaction in adulthood plays a role in the relationship between adulthood objective income and late-life depressive symptoms among older adults who have experienced childhood difficulties.

METHODS

Using data from two waves (2006, 2021) of the Korean Welfare Panel Study (N = 1822), we identified respondents with and without childhood difficulties, and performed a series of hierarchical zero-inflated Poisson regression models.

RESULTS

Childhood difficulties (β, 0.07; 95% confidence interval [CI], 0.04-0.11), adulthood low income (β, 0.17; 95% CI, 0.13-0.21), and low income satisfaction (β, 0.16; 95% CI, 0.12-0.21) are associated with an increased level of depressive symptoms in late life. In the context of the association between objective income level and late-life depressive symptoms, the buffering effect of income satisfaction in adulthood was found among the respondents who had experienced childhood difficulties (β, 0.22; 95% CI, 0.09-0.34).

CONCLUSIONS

Childhood difficulties are a critical risk factor impacting late-life psychological well-being. How an individual subjectively evaluates his or her economic status in adulthood plays a major role in mitigating the negative impact of childhood difficulties on late-life health inequality. Interventions to reduce the risk of childhood difficulties and their negative long-lasting impact may alleviate individuals' exposure to depression in late life. Geriatr Gerontol Int 2024; 24: 246-252.

When are people more open to cheating? Economic inequality makes people expect more everyday unethical behavior

Economic inequality has been found to be associated with increased unethical behavior and an increased acceptance of unethical behavior. In this paper we explored whether higher amounts of perceived inequality lead to an increase in the expectation of unethical behavior. We tested whether people would say that they themselves would engage in more unethical behavior in a context of high compared to low inequality. We find evidence for this hypothesis in 3 of 4 studies (n = 3,038). An internal meta-analysis shows a small but significant effect. Such increased expectations that oneself will behave unethically likely has consequences for societal trust and functioning.

The psychological imprint of inequality: Economic inequality shapes achievement and power values in human life

OBJECTIVE

This research investigates how economic inequality shapes basic human values across three cross-national, cross-regional, and longitudinal studies (Ntotal  = 219,697).

METHODS

Study 1 examined the relationship between objective economic inequality and values across 77 societies from all five continents (n = 170,525). Study 2 examined the relationship between objective economic inequality and values across 51 regions in the United States (n = 48,559). Study 3 used a two-year longitudinal design to examine the relationship between perceived economic inequality and values (n = 613).

RESULTS

Results from multilevel modeling and longitudinal analysis suggested that people who lived in areas with higher economic inequality and who perceived higher economic inequality were more likely to endorse achievement and power values. Moreover, people who perceived higher economic inequality were less likely to endorse benevolence values. These effects were robust in within-country tests (Studies 2 and 3) but not in the cross-country tests (Study 1) when accounting for sociodemographic characteristics.

CONCLUSIONS

Our findings suggest that economic inequality may act as an antecedent of self-enhancement values, particularly within countries. In a world of rising economic inequality, this may over time lead to an overemphasis on achievement and power which have been shown to erode social cohesion.

Effect of economic inequality on generosity: A social norm perspective

Economic inequality has been found to reduce individuals' generosity in western contexts. However, whether this effect is cross-culturally consistent and its internal mechanism remain unclear, as well as how to mitigate this impact. Hence, we explored whether and why economic inequality may erode generosity in a sample of Chinese adults from the social norm perspective and introduced the equal allocation norm to mitigate this effect. Four online studies were conducted: two were correlational (Study 1: n = 300; Study 2: n = 568) and two were experimental (Study 3: n = 289; Study 4: n = 500). Results showed that economic inequality predicted less generosity in the dictator game, and perceived unequal allocation norm accounted for this effect. Moreover, introducing the equal allocation norm could buffer this negative effect. Findings suggest economic inequality impairs generosity, and making the equal allocation norm more salient may guide people to act more generously.

Economic inequality increases the number of hours worked and decreases work-life balance perceptions: longitudinal and experimental evidence

International institutions' attention to work-life balance (WLB) demonstrates the global breadth of this issue. Yet the scientific community has thus far paid little attention to its structural underpinnings and to the interplay between these macro-level underpinnings and individual psychological factors. We examine the contextual role of economic inequality at the national level as a significant factor influencing working time and WLB perceptions using multiple empirical strategies. In the first set of studies (1a and 1b), we compared countries with different levels of inequality (Study 1a with 37 countries, Study 1b with longitudinal data from 34 countries, N = 254) and found increased working time and reduced WLB in highly unequal countries. In a pilot study (N = 81) and in the pre-registered Studies 2 (N = 338) and 3 (N = 499) we corroborated this evidence with an experimentally induced inequality perception, reporting an indirect effect of inequality on WLB (Studies 2 and 3) and working time (Study 3) through status anxiety and competitiveness. In Study 2, we manipulated socio-economic class in addition to economic inequality, showing that the detrimental effect of inequality on WLB is especially marked for participants assigned to a low-class condition. This research contributes to an integrated understanding of the impact of economic inequality and socio-economic class in shaping WLB and provides useful insights for organizations to develop context-specific policies to improve employees' WLB that take both individual and structural factors into account.

A Competitiveness-Based Theoretical Framework on the Psychology of Income Inequality

Social scientists have begun to extensively study how living in contexts with high income inequality affects psychological outcomes. Herein we overview a conceptual framework that integrates, organizes, and extends these complex (and sometimes contradictory) findings. First, we describe studies showing that income inequality breeds an ethos of competitiveness. Second, we argue that the inequality-competitiveness relation explains why income inequality (a) promotes status-focused behaviors aimed at lifting oneself up and/or bringing others down, (b) harms social relations when they pose an obstacle to one's economic advancement, (c) exerts opposing effects on well-being via avoidance motivation (focusing on the risk of economic failure) and approach motivation (focusing on the prospect of economic success), and (d) represents a threat to those who perceive they do not have sufficient individual/contextual resources to cope with the demands of competition but a challenge to those with sufficient resources. We also discuss limitations and future directions for research.

Perceived inequality in society may not motivate increased food intake in the absence of personal socioeconomic disadvantage

BACKGROUND

Greater levels of socioeconomic inequality across societies have been associated with higher rates of obesity and cardiometabolic disease. While these relationships could be attributed to poorer quality of health services and lower access to healthier lifestyles among disadvantaged groups in societies with greater economic inequality, this explanation does not account for those who experience relative economic security in such unequal societies (e.g., the middle and upper classes). Here, we tested whether perceptions of greater disparities between social classes in one's society (i.e., perceived societal inequality) may promote eating behaviors that risk excess energy intake.

METHODS

In two studies, participants completed an experimental manipulation that situated them as middle class within a hypothetical society that was presented to have either large disparities in socioeconomic resources between classes (high inequality condition) or low disparities (low inequality condition), while keeping the participants' objective socioeconomic standing constant across conditions. In Study 1 (pre-registered), participants (n = 167) completed the perceived societal inequality manipulation before a computerized food portion selection task to measure desired portion sizes for a variety of foods. Study 2 (n = 154) involved a similar design as Study 1, but with inclusion of a neutral control condition (no awareness of class disparities) followed by ad libitum consumption of potato chips.

RESULTS

While the high inequality condition successfully elicited perceptions of one's society as having greater socioeconomic inequalities between classes, it did not generate consistent feelings of personal socioeconomic disadvantage. Across both studies, we observed no differences between conditions in average selected portion sizes or actual energy intake.

CONCLUSIONS

Taken together with prior research on the effects of subjective socioeconomic disadvantage on increased energy intake, these findings suggest that perceptions of inequality in one's society may be insufficient to stimulate heightened energy intake in the absence of personal socioeconomic disadvantage or inadequacy.

Wage (in)equality matters: the effect of organizational economic inequality on others' and self-ascriptions

Economic inequality has consequences at the social-psychological level, such as in the way people make inferences about their environment and other people. In the present two preregistered studies, we used a paradigm of an organizational setting to manipulate economic inequality and measured ascriptions of agentic versus communal traits to employees and the self. In Study 1 (N = 187), participants attributed more agency than communion to a middle-status employee, and more communion than agency when economic equality was salient. In Study 2 (N = 198) this finding was replicated. Further, this inequality-agency association was explained by perceptions of competitive employee relationships. Results, moreover, suggested that participants mainly attributed more communion than agency to themselves in the equality condition. We conclude that agency and communion ascriptions may be functional and thus inform about the expectations people have on the nature of social relationships in the face of economic inequality.

Promoting prosocial behavior in an unequal world

Amid a global pandemic and the climate crisis, there is an increasing need to understand how to promote largescale, coordinated action between different groups. Yet certain factors such as inequality can hinder cooperation. We aimed to establish how to orient groups toward a superordinate goal when they have unequal resources. Participants were divided into two 'countries' and asked to assemble LEGO bricks into food (by building pieces in a certain order) to prevent starvation among 'the people'. One 'country' had few LEGO bricks whereas the other had an abundance, and the only way to maximize food creation was for the groups to work together. We assessed the efficacy of three diverse interventions on superordinate behavior and attitudes: compassion meditation training (Study 1), lower inequality (Study 2), and the introduction of a pro-sharing group norm by a confederate (Study 3). Compassion meditation training and altering the degree of inequality between groups did not have a clear effect on collaborative action. Only the introduction of a pro-sharing group norm enhanced sharing behavior, made participants feel more cooperative and reduced fears of being compassionate toward others. Our findings speak to the importance of leadership in promoting coordinated action to address challenges that face the superordinate group.

How living in economically unequal societies shapes our minds and our social lives

In recent decades, the economies of many countries have produced increasingly unequal outcomes for the rich and poor. This economic trend has attracted interest from members of the media, public and political classes as well as researchers who are interested in its societal implications. While this research has traditionally been the purview of economists and sociologists, there has been a burgeoning growth in research that has sought to understand the psychology of economic inequality. In this review, we summarize this work, focusing on two major themes: (1) how people perceive the scale of economic inequality and appraise its significance, and (2) how living in an economically unequal environment shapes people's social lives. Together, this work affirms claims that economic inequality is 'the defining issue of our time' (Obama, 2013) with a great deal of destructive potential. We identify important questions that await further research attention.

Tax the élites! The role of economic inequality and conspiracy beliefs on attitudes towards taxes and redistribution intentions

Taxation is one of the most widely acknowledged strategies to reduce inequality, particularly if based on progressivity. In a high-powered sample study (N = 2119) we investigated economic inequality and conspiracy beliefs as two key predictors of tax attitude and support for progressive taxation. We found that participants in the high economic inequality condition had lower levels of tax compliance and higher levels of conspiracy beliefs and support for progressive taxation. Furthermore, the effect of the experimental condition on tax compliance was mediated by conspiracy beliefs. Finally, conspiracy belief scores were positively associated with support for progressive taxation. Our results provide evidence that attitudes towards taxation are not monolithic but change considering the aims and targets of specific taxes. Indeed, while the perception of economic inequality prompts the desire for equal redistribution, it also fosters conspiracy narratives that undermine compliance with taxes.

Perceived economic inequality enlarges the perceived humanity gap between low- and high-socioeconomic status groups

In this paper, we analyze the influence of the perceived level of economic inequality in daily life on people's recognition of the perceived humanity gap between low- and high-socioeconomic groups within society. To achieve this purpose, in Studies 1A-B, we analyzed the relationship between economic inequality and the humanity gap. In Studies 2A-B, we manipulated the level of inequality (low vs. high) to identify differences in the humanity gap. Results indicated that higher perceptions of economic inequality lead individuals to recognize a wider humanity gap between low- and high-socioeconomic groups in society. Implications are discussed.

Economic inequality breeds corrupt behaviour

Economists and political scientists have long debated the relations between economic inequality and corruption at the societal level. Extending this literature, we proposed and tested that economic inequality breeds the corrupt behaviour of individuals. Analyses of 45-year archival data from the United States found that official corruption crimes were more prevalent in years and states with greater economic inequality. Three subsequent experiments (N = 776) using economic games showed that individuals exposed to greater economic inequality exhibited more corrupt behaviour in both Chinese and American cultures. Furthermore, the increased desire for wealth and the perception of reduced fairness accounted for this effect. These findings highlight that excessive economic inequality creates a competitive environment in which people give priority to themselves over others and suggest a vicious cycle between economic inequality and corruption.

What about diversity? The effect of organizational economic inequality on the perceived presence of women and ethnic minority groups

Economic inequality shapes the degree to which people and different social groups are perceived in stereotypical ways. Our research sought to investigate the impact of the perception of economic inequality in an organizational setting on expectations of social diversity in the organization’s workforce, across the dimensions of gender and ethnicity. Combining data from previous experiments, we first explored in one set of studies (Studies 1a and 1b; N = 378) whether the degree of economic inequality in a fictitious organization affected participants’ expectations of the representation of minority vs. majority group employees. We found that when we presented an organization with unequal (vs. equal) distribution of economic wealth amongst its employees to study participants, they expected the presence of men and White majority individuals to be larger than the presence of women and ethnic minorities. Second, we tested our hypotheses and replicated these initial effects in a pre-registered study (Study 2: N = 449). Moreover, we explored the potential mediating role of perceived diversity climate, that is, the perception that the organization promotes and deals well with demographic diversity. Findings revealed that an organizational setting that distributed resources unequally (vs. equally) was associated with a more adverse diversity climate, which, in turn, correlated with expectations of a lower presence of minority group employees in the organization. We concluded that economic inequality creates a context that modulates perceptions of a climate of social exclusion which likely affects the possibilities for members of disadvantaged groups to participate and develop in organizations.

Moral Expansiveness Around the World: The Role of Societal Factors Across 36 Countries

What are the things that we think matter morally, and how do societal factors influence this? To date, research has explored several individual-level and historical factors that influence the size of our ‘moral circles.' There has, however, been less attention focused on which societal factors play a role. We present the first multi-national exploration of moral expansiveness—that is, the size of people’s moral circles across countries. We found low generalized trust, greater perceptions of a breakdown in the social fabric of society, and greater perceived economic inequality were associated with smaller moral circles. Generalized trust also helped explain the effects of perceived inequality on lower levels of moral inclusiveness. Other inequality indicators (i.e., Gini coefficients) were, however, unrelated to moral expansiveness. These findings suggest that societal factors, especially those associated with generalized trust, may influence the size of our moral circles.

Fighting inequalities in times of pandemic: The role of politicized identities and interdependent self-construal in coping with economic threat

During the COVID-19 pandemic, institutions encouraged social isolation and non-interaction with other people to prevent contagion. Still, the response to an impending economic crisis must be through the collective organization. In this set of pre-registered studies, we analyse two possible mechanisms of coping with collective economic threats: shared social identity and interdependent self-construction. We conducted three correlational studies during the pandemic in May-October 2020 (Study 1, N = 363; Study 2, N = 250; Study 3, N = 416). Results show that shared identity at two levels of politicization (i.e., working-class and 99% identities) and interdependent self-construal mediated the relationship between collective economic threat, intolerance towards economic inequality and collective actions to reduce it. The results highlight that the collective economic threat can reinforce the sense of community-either through the activation of a politicized collective identity, such as the working class or the 99% or through the activation of an interdependent self-which in turn can trigger greater involvement in the fight against economic inequality. Please refer to the Supplementary Material section to find this article's Community and Social Impact Statement.

Economic inequality shapes the agency–communion content of gender stereotypes

Economic inequality is a main issue in current societies, and it affects people’s psychological processes. In this research, we propose that perceived economic inequality might affect how people perceive men and women. In two experiments carried out in Spain ( N = 170) and Mexico ( N = 215), we tested whether high (vs. low) economic inequality leads to changes in the perceived agency and communion of both men and women. Our findings suggest that when economic inequality is high (vs. low), the communal content in social perceptions of both men and women decreases. Specifically, under high (vs. low) inequality, the difference in agency and communion ascribed to a man becomes greater (i.e., men are perceived as even more agentic than communal), whereas this difference becomes smaller for women (i.e., women are still perceived as more communal than agentic, but this difference is smaller). We discuss these findings’ implications regarding the psychosocial effects of economic inequality.

Economic Inequality Increases the Preference for Status Consumption

Prior research has shown the relationship between objective economic inequality and searching for positional goods. It also investigated the relationship between social class and low income with conspicuous consumption. However, the causal relationship between economic inequality (the difference in wealth between individuals and groups living in a shared context and consumer behavior) has been less explored. Furthermore, there are also few studies looking for the psychological mechanisms that underlie these effects. The current research’s main goal is to analyze the consequences of perceived economic inequality (PEI) on conspicuous and status consumption and the possible psychological mechanisms that could explain its effects. Furthermore, the current research aims to examine whether there is a causal relationship between PEI and materialism preferences and attitudes toward indebtedness. This work includes two preregister experimental studies. In the Study 1 (n = 252), we manipulated PEI and its legitimacy through a 2 (high vs. low inequality) × 2 (Illegitimate vs. legitimate) between-participants experiment. Results showed a main effect of PEI on status consumption, status seeking, status anxiety, materialism, and attitude toward indebtedness. No interaction effect between legitimacy and inequality was found. In the Study 2 (n = 301), we manipulated the PEI through the Bimboola Paradigm. We replicated the effect of PEI on status consumption, status seeking, and materialism and found that status seeking mediated the relationship between PEI and status and conspicuous consumption. Economic inequality affects consumer behavior and favors consumption preferences for products that provide desirable symbolic values associated with status. These results could have important implications in the interpersonal and intergroup processes, including those related to consumption and purchase.

The Role of Short-Term and Longer Term Immigration Trends on Voting for Populist Radical Right Parties in Europe

The success of populist radical right parties (PRRPs) in Europe has, in part, been attributed to growing immigration, but previous findings have found an inconsistent relationship between immigration and voting for PRRPs. We address previous inconsistencies by suggesting a time-focused perspective on intergroup relations. We disentangle short-term from longer term immigration trends and argue that a recent increase in immigration should predict PRRP support. With time, however, citizens will adapt to these demographic changes and voting for PRRPs could decline. We drew on official immigration records and representative data from the European Social Survey, capturing the voting behavior of 75,874 individuals from 15 European countries between 2002 and 2014. We found that a recent increase in immigration predicted more PRRP voting, and this relationship was strengthened under conditions of higher economic strain and inequality. In contrast, sustained immigration in the longer term was not related with PRRP votes.

The Language of Inequality: Evidence Economic Inequality Increases Wealth Category Salience

There is evidence that in more economically unequal societies, social relations are more strained. We argue that this may reflect the tendency for wealth to become a more fitting lens for seeing the world, so that in economically more unequal circumstances, people more readily divide the world into “the haves” and “have nots.” Our argument is supported by archival and experimental evidence. Two archival analyses reveal that at times of greater inequality, books in the United Kingdom and the United States and news media in English-speaking countries were more likely to mention the rich and poor. Three experiments, two preregistered, provided evidence for the causal role of economic inequality in people’s use of wealth categories when describing life in a fictional society; effects were weaker when examining real economic contexts. Thus, one way in which inequality changes the world may be by changing how we see it.

How economic inequality affects prosocial behavior in children across development

Research has linked economically unequal environments to lower prosocial behavior in adults. However, we know little about how inequality affects children's prosociality. Here, 4- to 9-year-old children (N = 128) played a series of games with several puppets where points were awarded. The distribution of points was characterized by either high inequality or low inequality. Children's donation behavior (i.e., the number of stickers they donated to a poor child), resource division behavior (i.e., how they divided extra points among poor and rich puppets), and fairness perceptions (i.e., how fair they perceived the game to be) were measured in response. Although the experimental manipulation of inequality did not affect children's donations, exploratory analyses revealed that higher inequality in children's home suburb was linked to lower donation rates. Furthermore, with age, children distributed points with increasing concern for poorer individuals, and negative judgments of the inequality were linked to distributing resources to poorer individuals. Here we present the first comprehensive analysis of children's prosocial reactions to high and low inequality across development.

Science-Driven Societal Transformation, Part III: Design

Climate change, biodiversity loss, and other major social and environmental problems pose severe risks. Progress has been inadequate and scientists, global policy experts, and the general public increasingly conclude that transformational change is needed across all sectors of society in order to improve and maintain social and ecological wellbeing. At least two paths to transformation are conceivable: (1) reform of and innovation within existing societal systems (e.g., economic, legal, and governance systems); and (2) the de novo development of and migration to new and improved societal systems. This paper is the final in a three-part series of concept papers that together outline a novel science-driven research and development program aimed at the second path. It summarizes literature to build a narrative on the topic of de novo design of societal systems. The purpose is to raise issues, suggest design possibilities, and highlight directions and questions that could be explored in the context of this or any R&D program aimed at new system design. This paper does not present original research, but rather provides a synthesis of selected ideas from the literature. Following other papers in the series, a society is viewed as a superorganism and its societal systems as a cognitive architecture. Accordingly, a central goal of design is to improve the collective cognitive capacity of a society, rendering it more capable of achieving and sustainably maintaining vitality. Topics of attention, communication, self-identity, power, and influence are discussed in relation to societal cognition and system design. A prototypical societal system is described, and some design considerations are highlighted.

The bright side of pessimism: Promoting wealth redistribution under (felt) economic hardship

Economic inequality is a collective issue that affects all citizens. However, people often fail to support redistribution strategies aimed at redressing inequality. In this work we investigated personal optimism and collective pessimism as psychological processes that contribute to hampering vs. promoting the demand for redistribution. Our prediction was that support for redistribution would require both a pessimistic economic outlook at the collective level and the perception of being economically disadvantaged. In two studies, one of which pre-registered, Italian participants (Study 1: N = 306; Study 2: N = 384) were led to feel relatively poor or rich, rated their perceived control over either their personal or the nation’s future and estimated either personal or national economic and general future risks. To measure support for redistribution, participants were invited to allocate their desired level of taxation to each of the five tax brackets included in the Italian personal income tax. Results showed that participants were optimistic about their personal future, but pessimistic about the fate of their nation. This difference was explained by respondents’ greater perceived control over personal future than over the nation’s future. Importantly, greater pessimism about national economic risks led to greater support for progressive taxation only for participants who felt relatively poor.

Economic inequality affects perceived normative values

The degree of economic inequality may lead to different environments where people develop motives and behaviours that lend them higher chances of survival. However, the specific features attributed to an environment with a particular level of economic inequality have received little research attention. In this research, we explored how perceived economic inequality may influence the values inferred as normative in society. Results from three studies, one correlational and two experimental, showed that perceived normative values change according to the degree of perceived economic inequality in a given context: higher levels of perceived economic inequality are related to normative self-enhancement values, whereas lower levels of perceived economic inequality are related to normative self-transcendence values. These results are discussed in terms of how information on economic inequality is used to build a general perception of the normative climate in society and, accordingly, of the values that would best guide behaviours.

Higher economic inequality intensifies the financial hardship of people living in poverty by fraying the community buffer

The current research investigates whether higher economic inequality disproportionately intensifies the financial hardship of low-income individuals. We propose that higher economic inequality increases financial hardship for low-income individuals by reducing their ability to rely on their community as a buffer against financial difficulties. This may occur, in part, because a frayed community buffer reduces low-income individuals' propensity to seek informal financial support from others. We provide empirical support across eight studies (sample size N = 1,029,900) from the United States, Australia and rural Uganda, through correlational and experimental data, as well as an instrumental variable analysis. On average across our studies, a 1 s.d. increase in economic inequality is associated with an increase of financial hardship among low-income individuals of 0.10 s.d. We discuss the implications of these results for policies aimed to help people living in poverty buffer against the adverse effects higher economic inequality imposes on them.

“Our Country Needs a Strong Leader Right Now”: Economic Inequality Enhances the Wish for a Strong Leader

Societal inequality has been found to harm the mental and physical health of its members and undermine overall social cohesion. Here, we tested the hypothesis that economic inequality is associated with a wish for a strong leader in a study involving 28 countries from five continents (Study 1, N = 6,112), a study involving an Australian community sample (Study 2, N = 515), and two experiments (Study 3a, N = 96; Study 3b, N = 296). We found correlational (Studies 1 and 2) and experimental (Studies 3a and 3b) evidence for our prediction that higher inequality enhances the wish for a strong leader. We also found that this relationship is mediated by perceptions of anomie, except in the case of objective inequality in Study 1. This suggests that societal inequality enhances the perception that society is breaking down (anomie) and that a strong leader is needed to restore order (even when that leader is willing to challenge democratic values).

Inequality is in the air: contextual psychosocial effects of power and social class

Social class and power inequalities are defining features of current societies and tend to influence several social psychological processes. Two types of consequences of social class and power inequalities can be differentiated: mechanical and contextual. Mechanical effects occur when inequality strengthens the relation between social class or power and a given outcome; conversely, contextual effects occur when inequality creates a social context that changes the relationship between social class or power and a given outcome. We exemplify these two different types of effects, focusing on the contextual ones, by analyzing the consequences of social class and power on a) status anxiety, b) the perception of society: social norms and mobility, and c) cohesion and social distance. Finally, we argue that perceived inequality and ideologies of inequality (e.g. economic system justification or social dominance orientation) might moderate these two described effects.

Economic Inequality and Masculinity-Femininity: The Prevailing Perceived Traits in Higher Unequal Contexts Are Masculine

Previous studies have shown that economic inequality influences psychological processes. In this article, we argue that economic inequality also makes masculine attributes more prototypical. In Study 1 (N = 106), using an experimental design, we showed that individuals belonging to a society characterized by a higher level of economic inequality are perceived as more masculine than feminine. Study 2 (N = 75) shows, also experimentally, that the upper social class is perceived mostly in terms of masculine traits, and that this effect is greater when economic inequality is relatively high. Conversely, the lower social class is more clearly perceived in terms of feminine traits. These results inform our understanding of the impact of economic inequality on social perception.