American Economic Review Vol. 91 No. 4 2001
Social Culture and Economic Performance
Abstract
The connection between obtaining higher paying jobs and undertaking some seemingly irrelevant activity is interpreted as “social culture.” In the context of a society trying to adopt a new technology, I show that by allowing the firms to give preferential treatment to workers based on some “cultural activity,” the society can partially overcome an informational free-riding problem. Therefore, social culture may affect the economic performance by altering the effective production technology of the economy.
- DOI
- 10.1257/aer.91.4.924
- Volume
- 91
- Issue
- 4
- Pages
- 924-937
- Language
- en
- Sources
- bibtex:phds-export.bib openalex crossref