Choice Over Time


Book Description

Many of our most urgent national problems suggest a widespread lack of concern for the future. Alarming economic conditions, such as low national savings rates, declining corporate investment in long-term capital projects, and ballooning private and public debt are matched by such social ills as diminished educational achievement, environmental degradation, and high rates of infant mortality, crime, and teenage pregnancy. At the heart of all these troubles lies an important behavioral phenomenon: in the role of consumer, manager, voter, student, or parent, many Americans choose inferior but immediate rewards over greater long-term benefits. Choice Over Time offers a rich sampling of original research on intertemporal choice—how and why people decide between immediate and delayed consequences—from a broad range of theoretical and methodological perspectives in philosophy, political science, psychology, and economics. George Loewenstein, Jon Elster, and their distinguished colleagues review existing theories and forge new approaches to understanding significant questions: Why do people seem to "discount" future benefits? Do individuals use the same decision-making strategy in all aspects of their lives? What part is played by situational factors such as the certainty of delayed consequences? How are decisions affected by personal factors such as willpower and taste? In addressing these issues, the contributors to Choice Over Time address many social, economic, psychological, and personal time problems. Their work demonstrates the predictive power of short-term preferences in behavior as varied as addiction and phobia, the effect of prices on consumption, and the dramatic rise in debt and decline in savings. Choice Over Time provides an essential source for the most recent research and theory on intertemporal choice, offering new models for time preference patterns—and their aberrations—and presenting a diversity of potential solutions to the problem of "temporal myopia."




Choosing Homes, Choosing Schools


Book Description

A series of policy shifts over the past decade promises to change how Americans decide where to send their children to school. In theory, the boom in standardized test scores and charter schools will allow parents to evaluate their assigned neighborhood school, or move in search of a better option. But what kind of data do parents actually use while choosing schools? Are there differences among suburban and urban families? How do parents’ choices influence school and residential segregation in America? Choosing Homes, Choosing Schools presents a breakthrough analysis of the new era of school choice, and what it portends for American neighborhoods. The distinguished contributors to Choosing Homes, Choosing Schools investigate the complex relationship between education, neighborhood social networks, and larger patterns of inequality. Paul Jargowsky reviews recent trends in segregation by race and class. His analysis shows that segregation between blacks and whites has declined since 1970, but remains extremely high. Moreover, white families with children are less likely than childless whites to live in neighborhoods with more minority residents. In her chapter, Annette Lareau draws on interviews with parents in three suburban neighborhoods to analyze school-choice decisions. Surprisingly, she finds that middle- and upper-class parents do not rely on active research, such as school tours or test scores. Instead, most simply trust advice from friends and other people in their network. Their decision-making process was largely informal and passive. Eliot Weinginer complements this research when he draws from his data on urban parents. He finds that these families worry endlessly about the selection of a school, and that parents of all backgrounds actively consider alternatives, including charter schools. Middle- and upper-class parents relied more on federally mandated report cards, district websites, and online forums, while working-class parents use network contacts to gain information on school quality. Little previous research has explored what role school concerns play in the preferences of white and minority parents for particular neighborhoods. Featuring innovative work from more than a dozen scholars, Choosing Homes, Choosing Schools adroitly addresses this gap and provides a firmer understanding of how Americans choose where to live and send their children to school.







Time and Decision


Book Description

How do people decide whether to sacrifice now for a future reward or to enjoy themselves in the present? Do the future gains of putting money in a pension fund outweigh going to Hawaii for New Year's Eve? Why does a person's self-discipline one day often give way to impulsive behavior the next? Time and Decision takes up these questions with a comprehensive collection of new research on intertemporal choice, examining how people face the problem of deciding over time. Economists approach intertemporal choice by means of a model in which people discount the value of future events at a constant rate. A vacation two years from now is worth less to most people than a vacation next week. Psychologists, on the other hand, have focused on the cognitive and emotional underpinnings of intertemporal choice. Time and Decision draws from both disciplinary approaches to provide a comprehensive picture of the various layers of choice involved. Shane Frederick, George Loewenstein, and Ted O'Donoghue introduce the volume with an overview of the research on time discounting and focus on how people actually discount the future compared to the standard economic model. Alex Kacelnik discusses the crucial role that the ability to delay gratification must have played in evolution. Walter Mischel and colleagues review classic research showing that four year olds who are able to delay gratification subsequently grow up to perform better in college than their counterparts who chose instant gratification. The book also delves into the neurobiology of patience, examining the brain structures involved in the ability to withstand an impulse. Turning to the issue of self-control, Klaus Wertenbroch examines the relationship between consumption and available resources, showing, for example, how a high credit limit can lead people to overspend. Ted O'Donoghue and Matthew Rabin show how people's awareness of their self-control problems affects their decision-making. The final section of the book examines intertemporal choice with regard to health, drug addiction, dieting, marketing, savings, and public policy. All of us make important decisions every day-many of which profoundly affect the quality of our lives. Time and Decision provides a fascinating look at the complex factors involved in how and why we make our choices, so many of them short-sighted, and helps us understand more precisely this crucial human frailty.




Learning Together


Book Description

Now available in paperback, this award-winning book provides a comprehensive history of gender policies and practices in American public schools. David Tyack and Elisabeth Hansot explore the many factors that have shaped coeducation since its origins. At the very time that Americans were creating separate spheres for adult men and women, they institutionalized an education system that brought boys and girls together. How did beliefs about the similarities and differences of boys and girls shape policy and practice in schools? To what degree did the treatment of boys and girls differ by class, race, region, and historical period? Debates over gender policies suggest that American have made public education the repository of their hopes and anxieties about relationships between the sexes. Thus, the history of coeducation serves as a window not only on constancy and change in gender practices in the schools but also on cultural conflicts about gender in the broader society. "Learning Together presents a rich and exhaustive search through [the] 'tangled history' of gender and education that links both the silences and the debates surrounding coeducation to the changing roles of women and men in our society....It is the generosity and capaciousness of Tyack and Hansot's scholarship that makes Learning Together so important a book." —Science




Making Ends Meet


Book Description

Welfare mothers are popularly viewed as passively dependent on their checks and averse to work. Reformers across the political spectrum advocate moving these women off the welfare rolls and into the labor force as the solution to their problems. Making Ends Meet offers dramatic evidence toward a different conclusion: In the present labor market, unskilled single mothers who hold jobs are frequently worse off than those on welfare, and neither welfare nor low-wage employment alone will support a family at subsistence levels. Kathryn Edin and Laura Lein interviewed nearly four hundred welfare and low-income single mothers from cities in Massachusetts, Texas, Illinois, and South Carolina over a six year period. They learned the reality of these mothers' struggles to provide for their families: where their money comes from, what they spend it on, how they cope with their children's needs, and what hardships they suffer. Edin and Lein's careful budgetary analyses reveal that even a full range of welfare benefits—AFDC payments, food stamps, Medicaid, and housing subsidies—typically meet only three-fifths of a family's needs, and that funds for adequate food, clothing and other necessities are often lacking. Leaving welfare for work offers little hope for improvement, and in many cases threatens even greater hardship. Jobs for unskilled and semi-skilled women provide meager salaries, irregular or uncertain hours, frequent layoffs, and no promise of advancement. Mothers who work not only assume extra child care, medical, and transportation expenses but are also deprived of many of the housing and educational subsidies available to those on welfare. Regardless of whether they are on welfare or employed, virtually all these single mothers need to supplement their income with menial, off-the-books work and intermittent contributions from family, live-in boyfriends, their children's fathers, and local charities. In doing so, they pay a heavy price. Welfare mothers must work covertly to avoid losing benefits, while working mothers are forced to sacrifice even more time with their children. Making Ends Meet demonstrates compellingly why the choice between welfare and work is more complex and risky than is commonly recognized by politicians, the media, or the public. Almost all the welfare-reliant women interviewed by Edin and Lein made repeated efforts to leave welfare for work, only to be forced to return when they lost their jobs, a child became ill, or they could not cover their bills with their wages. Mothers who managed more stable employment usually benefited from a variety of mitigating circumstances such as having a relative willing to watch their children for free, regular child support payments, or very low housing, medical, or commuting costs. With first hand accounts and detailed financial data, Making Ends Meet tells the real story of the challenges, hardships, and survival strategies of America's poorest families. If this country's efforts to improve the self-sufficiency of female-headed families is to succeed, reformers will need to move beyond the myths of welfare dependency and deal with the hard realities of an unrewarding American labor market, the lack of affordable health insurance and child care for single mothers who work, and the true cost of subsistence living. Making Ends Meet is a realistic look at a world that so many would change and so few understand.




eTrust


Book Description

There is one thing that moves online consumers to click "add to cart," that allows sellers to accept certain forms of online payment, and that makes online product reviews meaningful: trust. Without trust, online interactions can't advance. But how is trust among strangers established on the Internet? What role does reputation play in the formation of online trust? In eTrust, editors Karen Cook, Chris Snijders, Vincent Buskens, and Coye Cheshire explore the unmapped territory where trust, reputation, and online relationships intersect, with major implications for online commerce and social networking. eTrust uses experimental studies and field research to examine how trust in anonymous online exchanges can create or diminish cooperation between people. The first part of the volume looks at how feedback affects online auctions using trust experiments. Gary Bolton and Axel Ockenfels find that the availability of feedback leads to more trust among one-time buyers, while Davide Barrera and Vincent Buskens demonstrate that, in investment transactions, the buyer's own experience guides decision making about future transactions with sellers. The field studies in Part II of the book examine the degree to which reputation facilitates trust in online exchanges. Andreas Diekmann, Ben Jann, and David Wyder identify a "reputation premium" in mobile phone auctions, which not only drives future transactions between buyers and sellers but also payment modes and starting bids. Chris Snijders and Jeroen Weesie shift focus to the market for online programmers, where tough competition among programmers allows buyers to shop around. The book's third section reveals how the quality and quantity of available information influences actual marketplace participants. Sonja Utz finds that even when unforeseen accidents hinder transactions—lost packages, computer crashes—the seller is still less likely to overcome repercussions from the negative feedback of dissatisfied buyers. So much of our lives are becoming enmeshed with the Internet, where ordinary social cues and reputational networks that support trust in the real world simply don't apply. eTrust breaks new ground by articulating the conditions under which trust can evolve and grow online, providing both theoretical and practical insights for anyone interested in how online relationships influence our decisions. A Volume in the Russell Sage Foundation Series on Trust




Mrs. Russell Sage


Book Description

This is the biography of a ruling-class woman who created a new identity for herself in Gilded Age and Progressive Era America. A wife who derived her social standing from her robber-baron husband, Olivia Sage managed to fashion an image of benevolence that made possible her public career. In her husband's shadow for 37 years, she took on the Victorian mantle of active, reforming womanhood. When Russell Sage died in 1906, he left her a vast fortune. An advocate for the rights of women and the responsibilities of wealth, for moral reform and material betterment, she took the money and put it to her own uses. Spending replaced volunteer work; suffrage bazaars and fundraising fÃates gave way to large donations to favorite causes. As a widow, Olivia Sage moved in public with authority. She used her wealth to fund a wide spectrum of progressive reforms that had a lasting impact on American life, including her most significant philanthropy, the Russell Sage Foundation.




Fighting for Reliable Evidence


Book Description

Once primarily used in medical clinical trials, random assignment experimentation is now accepted among social scientists across a broad range of disciplines. The technique has been used in social experiments to evaluate a variety of programs, from microfinance and welfare reform to housing vouchers and teaching methods. How did randomized experiments move beyond medicine and into the social sciences, and can they be used effectively to evaluate complex social problems? Fighting for Reliable Evidence provides an absorbing historical account of the characters and controversies that have propelled the wider use of random assignment in social policy research over the past forty years. Drawing from their extensive experience evaluating welfare reform programs, noted scholar practitioners Judith M. Gueron and Howard Rolston portray randomized experiments as a vital research tool to assess the impact of social policy. In a random assignment experiment, participants are sorted into either a treatment group that participates in a particular program, or a control group that does not. Because the groups are randomly selected, they do not differ from one another systematically. Therefore any subsequent differences between the groups can be attributed to the influence of the program or policy. The theory is elegant and persuasive, but many scholars worry that such an experiment is too difficult or expensive to implement in the real world. Can a control group be truly insulated from the treatment policy? Would staffers comply with the random allocation of participants? Would the findings matter? Fighting for Reliable Evidence recounts the experiments that helped answer these questions, starting with the income maintenance experiments and the Supported Work project in the 1960s and 1970s. Gueron and Rolston argue that a crucial turning point came during the 1980s, when Congress allowed states to experiment with welfare programs and foundations, states, and the federal government funded larger randomized trials to assess the impact of these reforms. As they trace these historical shifts, Gueron and Rolston discuss the ways that strategies for resolving theoretical and practical problems were developed, and they highlight the strict conditions required to execute a randomized experiment successfully. What emerges is a nuanced portrait of the potential and limitations of social experiments to advance empirical knowledge. Weaving history, data analysis and personal experience, Fighting for Reliable Evidence offers valuable lessons for researchers, policymakers, funders, and informed citizens interested in isolating the effect of policy initiatives. It is an essential primer on welfare policy, causal inference, and experimental designs.




Categorically Unequal


Book Description

The United States holds the dubious distinction of having the most unequal income distribution of any advanced industrialized nation. While other developed countries face similar challenges from globalization and technological change, none rivals America's singularly poor record for equitably distributing the benefits and burdens of recent economic shifts. In Categorically Unequal, Douglas Massey weaves together history, political economy, and even neuropsychology to provide a comprehensive explanation of how America's culture and political system perpetuates inequalities between different segments of the population. Categorically Unequal is striking both for its theoretical originality and for the breadth of topics it covers. Massey argues that social inequalities arise from the universal human tendency to place others into social categories. In America, ethnic minorities, women, and the poor have consistently been the targets of stereotyping, and as a result, they have been exploited and discriminated against throughout the nation's history. African-Americans continue to face discrimination in markets for jobs, housing, and credit. Meanwhile, the militarization of the U.S.-Mexican border has discouraged Mexican migrants from leaving the United States, creating a pool of exploitable workers who lack the legal rights of citizens. Massey also shows that women's advances in the labor market have been concentrated among the affluent and well-educated, while low-skilled female workers have been relegated to occupations that offer few chances for earnings mobility. At the same time, as the wages of low-income men have fallen, more working-class women are remaining unmarried and raising children on their own. Even as minorities and women continue to face these obstacles, the progressive legacy of the New Deal has come under frontal assault. The government has passed anti-union legislation, made taxes more regressive, allowed the real value of the federal minimum wage to decline, and drastically cut social welfare spending. As a result, the income gap between the richest and poorest has dramatically widened since 1980. Massey attributes these anti-poor policies in part to the increasing segregation of neighborhoods by income, which has insulated the affluent from the social consequences of poverty, and to the disenfranchisement of the poor, as the population of immigrants, prisoners, and ex-felons swells. America's unrivaled disparities are not simply the inevitable result of globalization and technological change. As Massey shows, privileged groups have systematically exploited and excluded many of their fellow Americans. By delving into the root causes of inequality in America, Categorically Unequal provides a compelling argument for the creation of a more equitable society. A Volume in the Russell Sage Foundation's Centennial Series