Date of Award
Spring 5-5-2023
Document Type
Thesis
Degree Name
Master of Arts (MA)
Department
Economics
First Advisor
Jonathan Conning
Second Advisor
Karna Basu
Academic Program Adviser
Karna Basu
Abstract
I test for heterogenous effects in the Prospects of Upward Mobility (POUM) hypothesis framework. This framework suggests that individuals who are poorer than average but expect to become richer than average support less redistribution. Using a survey of households in primarily transition economies - Life in Transition Survey (LiTS2) and ordered logistic regression, I test whether the POUM effect is influenced by the riskiness of the individual's environment or political beliefs. The results suggest that the POUM effect holds independent of the riskiness of the environment but is conditional on political beliefs. The prospects of upward mobility decrease redistributive support only for left-wing individuals, particularly those with low risk aversion.
Recommended Citation
Badalov, Nathaniel, "Heterogeneous Effects in the Prospects of Upward Mobility Hypothesis: The Roles of Risk and Political Beliefs." (2023). CUNY Academic Works.
https://academicworks.cuny.edu/hc_sas_etds/1043