Explaining inequality tolerance in the lab: effects of political efficacy and prospects of mobility on collective demand for redistribution

Abstract

The low public demand for redistribution despite growing economic inequality has been characterized as a paradox especially for disadvantaged individuals. One prominent explanation for people’s tolerance to growing inequality posits that increased optimism about prospects of upward mobility undermines support for redistribution. A less explored explanation postulates that low political efficacy of disadvantaged individuals to enact meaningful change erodes collective demand for redistribution. In two preregistered experiments, we create a dynamic environment where low-income individuals collectively demand income redistribution by contributing to a public pool (collective action strategy), compete with each other for high-income group positions (individual mobility strategy), or avoid risks and disengage from both strategies (social inaction strategy). Lack of political efficacy, operationalized as high redistribution thresholds, gradually curtailed collective action, while exposure to high prospects of mobility did not influence collective action even when income group boundaries were highly permeable. Across participants, we identified three behavioral types (i.e., “mobility seekers”, “egalitarians”, and “disillusioned”) whose prevalence was affected by political efficacy but not by prospects of mobility or actual group permeability. These results cast doubt on the universality of the prospects of mobility hypothesis and highlight the prominent role of political inequality in the perpetuation of economic inequality.