-19% $20.16$20.16
FREE delivery November 14 - 18
Ships from: Sarai Dayana Sold by: Sarai Dayana
$7.12$7.12
$3.99 delivery November 18 - 22
Ships from: HPB-Ruby Sold by: HPB-Ruby
Download the free Kindle app and start reading Kindle books instantly on your smartphone, tablet, or computer - no Kindle device required.
Read instantly on your browser with Kindle for Web.
Using your mobile phone camera - scan the code below and download the Kindle app.
Audible sample
Follow the authors
OK
Identity Economics: How Our Identities Shape Our Work, Wages, and Well-Being Hardcover – February 10, 2010
Purchase options and add-ons
How identity influences the economic choices we make
Identity Economics provides an important and compelling new way to understand human behavior, revealing how our identities―and not just economic incentives―influence our decisions. In 1995, economist Rachel Kranton wrote future Nobel Prize-winner George Akerlof a letter insisting that his most recent paper was wrong. Identity, she argued, was the missing element that would help to explain why people―facing the same economic circumstances―would make different choices. This was the beginning of a fourteen-year collaboration―and of Identity Economics.
The authors explain how our conception of who we are and who we want to be may shape our economic lives more than any other factor, affecting how hard we work, and how we learn, spend, and save. Identity economics is a new way to understand people's decisions―at work, at school, and at home. With it, we can better appreciate why incentives like stock options work or don't; why some schools succeed and others don't; why some cities and towns don't invest in their futures―and much, much more.
Identity Economics bridges a critical gap in the social sciences. It brings identity and norms to economics. People's notions of what is proper, and what is forbidden, and for whom, are fundamental to how hard they work, and how they learn, spend, and save. Thus people's identity―their conception of who they are, and of who they choose to be―may be the most important factor affecting their economic lives. And the limits placed by society on people's identity can also be crucial determinants of their economic well-being.
- Print length192 pages
- LanguageEnglish
- PublisherPrinceton University Press
- Publication dateFebruary 10, 2010
- Dimensions6.5 x 0.75 x 9.75 inches
- ISBN-100691146489
- ISBN-13978-0691146485
The Amazon Book Review
Book recommendations, author interviews, editors' picks, and more. Read it now.
Frequently bought together
Similar items that ship from close to you
Editorial Reviews
Review
"One of Bloomberg News's (bloomberg.com/news) Top Thirty Business Books of the Year for 2010"
"Honorable Mention for the 2010 PROSE Award in Economics, Association of American Publishers"
"[Akerlof and Kranton] explore the links between our identities and the everyday decisions we make about earning and spending money. Their goal is to add a more personal touch to economics." ― New York Times
"There is no question monetary incentives are important―indeed critical―but it is important also to consider other meaningful ways to motivate and engage work forces. In a recent book by George Akerlof and Rachel Kranton, Identity Economics, the authors document how people in exceptional organizations work well because they identify with the values and the culture, not simply the financial rewards."---Al Gore and David Blood, Wall Street Journal
"An important new book. . . . Preserving our identity, obeying its rules, living by its norms is, Akerlof and Kranton argue, one of our central economic objectives. And our behaviour doesn’t make much sense unless the importance of identity is understood."---Daniel Finkelstein, The Times
"Identity Economics is a popular account of work that will already be familiar to economists who have read the authors' journal articles. It is admirably short, written in a clear, nontechnical style but without the condescending breeziness of many books aimed at the airport market. Nonspecialist readers will find a lot of insightful and well-informed analysis of how issues of identity have an impact on real economic problems."---Robert Sugden, Science
"The authors make a compelling case that the group with which individuals identify shapes their decisions about schooling, work, savings, investment, and retirement. This paradigm offers better ways of understanding the consequences of public policies and business practices. . . . Identity Economics provides a new language and a useful apparatus to take measure of 'real people in real situations.'" ― Barron's
"Business managers, economists, policy makers, and school administrators will all gain fresh insights into similar enigmas that confront them if they bear the book's message in mind: identity matters." ― ForeWord
"[A] lucid look at how social considerations carry economic consequences. . . . The authors use the word 'identity' as shorthand for the way people divide themselves into social groups, each of which--like high-school Jocks and Burnouts--has a sense of how to behave."---James Pressley, Bloomberg News
"The essence of the book is to place social contexts at the heart of an individual's decision-making. Tastes vary with social context, and concepts such as identity and norms influence the outcome." ― Mint
"This is a completely new idea, which, in essence, says that one effect of being in an increasingly liberal and affluent society is that aspects of identity that previously didn't seem to matter much to economists are consciously influencing our behaviour."---Trevor Phillips, Prospect
"[Akerlof and Kranton] present the material in a very readable and entertaining way. Their findings are that economic behavior is governed by one's social category, by the norms of that social assignment, and by how one views one's identity in that social context." ― Choice
"By the end of the book, my overwhelming feeling was that the authors had made a pretty robust case for why our profession should pay greater attention to the social structures that underpin our economic decisions. For this, they should be highly commended."---Samuel Tombs, Business Economist
"Identity Economics provides the broader, better vision that we need." ― New Economy
"The book provides a solid basis for a plethora of future research, especially in the field of behavioural economics. . . . Identity economics is a step forward, progressing economic theory and understanding a little further along the path from Homo economicus to Homo sapiens."---David A. Savage, The Economic Record
"Akerlof is one of the most imaginative thinkers in neoclassical economics, and his earlier work on information economics essentially sparked off a revolution which dramatically changed the nature of the subject. Any work by him is worth pursuing."---Priyodorshi Banerjee, Economic & Political Weekly
"Identity Economics marks a very significant contribution to the ever-growing economic literature incorporating nonmonetary motives to explain behavior and as such it is highly recommended reading for social scientists."---Andreas P. Kyriacou, Public Choice
"This book is a must read for any social scientist whose interests lie in the intersection of economic analysis and real-world context and situations. While decidedly a trade book, the substantial list of references and strong foundations in the economics literature provide further reading for those who may be more mathematically inclined. Overall, the book was an interesting and informative read providing a framework for analysis not usually offered elsewhere."---Gabriel R. Serna, Journal of Economic Issues
"By demonstrating the ways identity and social norms guide economic behavior, Akerlof and Kranton present a powerful challenge to conventional economics--and our everyday assumptions about human behavior." ― World Book Industry
Review
"In Identity Economics, George Akerlof and Rachel Kranton team up to bring people and their passions into economic analysis. Moving away from conventional accounts, they propose a bold paradigm to explain why and how identity and social norms shape economic decision making. With verve and insight, the book transforms standard economic understandings of organizations, schools, gender segregation, and racial discrimination. This new enlightened economics opens up a bright future for serious collaboration between economists and sociologists."―Viviana A. Zelizer, author of The Purchase of Intimacy
"This intriguing book shows how much can be learned when you add the tools of economics to the other intellectual resources now available for thinking about the power of identity. George Akerlof and Rachel Kranton report the results of technical modeling without immersing the reader in the technicalities. The result is an accessible work of commendable clarity."―Kwame Anthony Appiah, author of The Ethics of Identity
"Identity Economics blends elements of psychology with traditional economic analysis. The writing is clear, interesting, and light on jargon. The interplay between theoretical predictions and concrete examples is particularly successful. It brings fascinating developments at the frontier of economics within reach of a wide audience."―H. Peyton Young, University of Oxford
"Identity Economics is full of creative and interesting thoughts that will delight and intrigue those who read it. The writing is lucid and accessible with a minimum of standard economics jargon, making it possible for the book to have a wide readership across the social sciences."―Timothy Besley, London School of Economics and Political Science
From the Inside Flap
"In the regular economic discourse of markets and taxes, we often forget about the forces that truly make a large difference in our lives. In Identity Economics we sit on an economic porch with Rachel Kranton and George Akerlof, observing what we care about most--our identity."--Dan Ariely, author of Predictably Irrational: The Hidden Forces That Shape Our Decisions
"In Identity Economics, George Akerlof and Rachel Kranton team up to bring people and their passions into economic analysis. Moving away from conventional accounts, they propose a bold paradigm to explain why and how identity and social norms shape economic decision making. With verve and insight, the book transforms standard economic understandings of organizations, schools, gender segregation, and racial discrimination. This new enlightened economics opens up a bright future for serious collaboration between economists and sociologists."--Viviana A. Zelizer, author of The Purchase of Intimacy
"This intriguing book shows how much can be learned when you add the tools of economics to the other intellectual resources now available for thinking about the power of identity. George Akerlof and Rachel Kranton report the results of technical modeling without immersing the reader in the technicalities. The result is an accessible work of commendable clarity."--Kwame Anthony Appiah, author of The Ethics of Identity
"Identity Economics blends elements of psychology with traditional economic analysis. The writing is clear, interesting, and light on jargon. The interplay between theoretical predictions and concrete examples is particularly successful. It brings fascinating developments at the frontier of economics within reach of a wide audience."--H. Peyton Young, University of Oxford
"Identity Economics is full of creative and interesting thoughts that will delight and intrigue those who read it. The writing is lucid and accessible with a minimum of standard economics jargon, making it possible for the book to have a wide readership across the social sciences."--Timothy Besley, London School of Economics and Political Science
From the Back Cover
"In the regular economic discourse of markets and taxes, we often forget about the forces that truly make a large difference in our lives. InIdentity Economics we sit on an economic porch with Rachel Kranton and George Akerlof, observing what we care about most--our identity."--Dan Ariely, author ofPredictably Irrational: The Hidden Forces That Shape Our Decisions
"In Identity Economics, George Akerlof and Rachel Kranton team up to bring people and their passions into economic analysis. Moving away from conventional accounts, they propose a bold paradigm to explain why and how identity and social norms shape economic decision making. With verve and insight, the book transforms standard economic understandings of organizations, schools, gender segregation, and racial discrimination. This new enlightened economics opens up a bright future for serious collaboration between economists and sociologists."--Viviana A. Zelizer, author of The Purchase of Intimacy
"This intriguing book shows how much can be learned when you add the tools of economics to the other intellectual resources now available for thinking about the power of identity. George Akerlof and Rachel Kranton report the results of technical modeling without immersing the reader in the technicalities. The result is an accessible work of commendable clarity."--Kwame Anthony Appiah, author ofThe Ethics of Identity
"Identity Economics blends elements of psychology with traditional economic analysis. The writing is clear, interesting, and light on jargon. The interplay between theoretical predictions and concrete examples is particularly successful. It brings fascinating developments at the frontier of economics within reach of a wide audience."--H. Peyton Young, University of Oxford
"Identity Economics is full of creative and interesting thoughts that will delight and intrigue those who read it. The writing is lucid and accessible with a minimum of standard economics jargon, making it possible for the book to have a wide readership across the social sciences."--Timothy Besley, London School of Economics and Political Science
About the Author
Product details
- Publisher : Princeton University Press; American First edition (February 10, 2010)
- Language : English
- Hardcover : 192 pages
- ISBN-10 : 0691146489
- ISBN-13 : 978-0691146485
- Item Weight : 15 ounces
- Dimensions : 6.5 x 0.75 x 9.75 inches
- Best Sellers Rank: #1,158,773 in Books (See Top 100 in Books)
- #346 in Microeconomics (Books)
- #1,153 in Theory of Economics
- #21,261 in Sociology (Books)
- Customer Reviews:
About the authors
Discover more of the author’s books, see similar authors, read book recommendations and more.
George A. Akerlof is the Koshland Professor of Economics at the University of California, Berkeley, and 2001 Nobel Laureate in Economics. Akerlof is the coauthor, with Robert Shiller, of "Animal Spirits: How Human Psychology Drives the Economy, and Why It Matters for Global Capitalism".
Customer reviews
Customer Reviews, including Product Star Ratings help customers to learn more about the product and decide whether it is the right product for them.
To calculate the overall star rating and percentage breakdown by star, we don’t use a simple average. Instead, our system considers things like how recent a review is and if the reviewer bought the item on Amazon. It also analyzed reviews to verify trustworthiness.
Learn more how customers reviews work on AmazonCustomers say
Customers find the book easy, insightful, and well-written. They also describe it as succinct but deep, and interesting. Readers mention the topics are incredibly interesting.
AI-generated from the text of customer reviews
Customers find the pacing of the book easy, insightful, and well-written. They say it makes its case convincingly and is succinct but deep.
"...Well, my skepticism turned out to be misplaced. The book is well-written, clear, and makes its case quite convincingly...." Read more
"Really well-written and easy to understand...." Read more
"...The authors sound pompous and fail to engage the reader. I could not wait to finish this book...." Read more
"...It was a good read and explained very well why people act in certain ways. I felt that it could have gone more in to detail, though...." Read more
Customers find the book interesting and approachable. They also say the topics are incredibly interesting.
"...On top of that, the topics in this book are incredibly interesting and are things that are very important to understand how people behave today, and..." Read more
"...It was a good read and explained very well why people act in certain ways. I felt that it could have gone more in to detail, though...." Read more
"Very interesting read, although a bit shallow. Is like an invitation to follow Akerlof's further scientific and academic work. Highly recommended." Read more
"Very readable and approachable book. It so nice that Economics is beginning to see the effects of culture in their work. Great read." Read more
-
Top reviews
Top reviews from the United States
There was a problem filtering reviews right now. Please try again later.
But economists seem to have taken this criticism seriously and economists are developing new, more general tools based on game theory. They are also shameless ripping off the ideas of other disciplines. Economists are better with mathematical tools, game theory, and the (still sound) core of rational choice theory. These tools are letting them colonize other social sciences once again, and this time they will not be so easy to fight off.
That is what happens in this book. Neoclassical economics does not have much to say about how people form their preferences, nor did it have a vocabulary to discuss how people are socialized. That is changing with identity economics. The gist of identity economics is explained in a story that Akerlof and Kranton tell about children on a carousel. The toddler ride on their parents laps. The four and five year old children ride alone and wave to their parents on the sidelines. These children had a sense of identity which told them they were older and did not need to ride with their parents. They took great pleasure in riding alone, unlike the babies. The next older batch of kids were more daring. They'd switch positions, ride one-handed and no-handed, and find other ways to make the ride more exciting.
The thirteen year olds were the most interesting. They genuinely enjoyed the carousel but a part of them - their identity - told them they were too old. Carousels are for little kids. So they rode but pretended to be bored and indifferent. Eventually the cognitive dissonance got to be too much and they'd simply move on to something else. They show the key point: we have preferences for what we subjectively like, but we also have preferences based on our chosen identity. Sometimes they are in conflict. Think of the intellectual who reads "chick lit" or the Christian who listens to secular music.
One of the most interesting applications is for work effort. A firm is a little bit like a commune in that it only succeeds if everyone works hard for the common good. That means that firms suffer from the free rider problem because each worker has an incentive to shirk. There are a lot of market solutions but they tend to backfire. You can use monitors, but monitors only have an incentive to do a good job if they are the residual claim holder who gets the profits. Otherwise doing a good job as a manager won't benefit you, so you run into the "who will monitor the monitors" problem. You can try to pay people based on output, but that can't be easily quantified, so people will game the system to increase their performance in the things that are measured but slack off in the things that are unmeasured. Moreover, workers worry that if they do well, the bonus will be reduced. So workers punish fellow employees who work too hard with social scorn and ostracism and even sabotage. Instead what you get is a situation where people create workplace identities, which in turn sets the norms for work effort. Firms would be well-advised to put their energy into fostering high moral and cohesive workgroup identities than into trying to create incentive schemes or strict monitoring.
The authors then go on to push their model even further, into the realm of race and gender. Overall the walk a delicate balancing act. On one hand, they point out that blacks have identities that lead to creating an "oppositional culture" against whites, and punish good students for "acting white". On the other hand, they do not want to let whites "off the hook" so they take pains to frame this in a way that is consistent with the view that racism and other structural problems lead to this identity. For example, they approvingly cite William Julius Wilson theory about the loss of manufacturing jobs hurting the black community and leading to unmarriageable men, but this has not held up (see Poverty and Discrimination by Kevin Lang and The Marriage Problem: How Our Culture Has Weakened Families by James Q. Wilson). In another section they approvingly cite the research on stereotype threat, but blacks in college actually have grades that are even lower than what you would expect from their SAT's (see No Excuses by Abigail Thernstrom). In another unpublished study, it turned out that the stereotype threat is created by a publication bias - studies of a stereotype threat that do not produce a significant result are not published, so their are many unpublished studies on the stereotype threat.
I think that also leads to my greatest criticism of the book, which is that its view of identities is somewhat incoherent. In their treatment of identities and gender the authors implicitly champion the blank slate view of human nature, which holds that people are infinitely malleable. We could raise boys to be nurturers who love babies and women to be aggressive and competitive. That view is simply wrong; there are biological constraints on our identities. Women are more nurturing than men in every known human society, regardless of how primitive. If nurturing were socially constructed then you'd expect some isolated tribe in Papua New Guinea to have nurturing men. (See
The Blank Slateby Steven Pinker who a good take down of the blank slate theory of human nature). One of the main reasons why women choose different jobs than men is because "pink collar" jobs are relatively friendly for leaving the workforce on an extended basis. It is easy for teachers to exit and enter the workforce, but engineers will have to learn many new skills as computers and technology change.
On the other hand, when the subject is racial identities, the identities no longer seem to be social constructs except in the weak sense that blacks chose their identities in response to the identities chosen by whites. It ignores the fact that there is a lot of wriggle room in human nature. In some parallel universe the 1960's never happened and out of wedlock childbirths in the black community didn't increase from 10% to 65%. The upshot is that this book ends out being a much weaker champion for identity economics than it could have been. I'd like to see the authors show that identities are their own engines of human destiny, and more than mere structural explanations for things we already know. My conclusion is that I found the book more valuable than the authors themselves!
Standard economic models based on perfect information and competition neglect powerful identity forces which explain why often actors don't maximize output.
Why do poor and minority children don't tend to obtain higher high school scores?
Why do women earn less money than men in same type of jobs and occupations?
Read the book. Learn and apply its lessons to make the world a better and more just place for all.
Disclosure: I am earning my Masters in Health Administration as well as my Masters in Business Administration. I read books on behavioral economics, business, strategy, and crowds.
Content: The authors did not find good examples for their argument. Their arguments are loosely built and poorly reinforced. I have read other books (likeSwitch: How to Change Things When Change Is Hard) that bring up some of the main concepts of this book but with better arguments and in a more enjoyable and convincing manner.
Writing style: This book was written like an article -- very, very dry. The authors sound pompous and fail to engage the reader. I could not wait to finish this book.
Overall recommendation: I really wish I could have given this book less than 3 stars, but I had to give some credit where credit is due. Identity economics is real, and the authors should get credit for recognizing and promoting it, but I suggest reading a different book if you want to know more about it.
Top reviews from other countries
Selon cette analyse, on ne peut pas comprendre les comportements apparemment irrationnels de certains individus - mauvais élèves à l'école, collaborateurs critiquant constamment leur entreprise etc. - si on ne cherche pas à comprendre ce qui définit l'identité de ces individus et les normes de comportement que ceux-ci se sentent tenus de respecter.
L'idée est pertinente. Elle peut sembler classique dans les champs de la sociologie et de la psychologie sociale mais elle est nouvelle dans celui de l'économie.
Le livre souffre cependant de quelques faiblesses, notamment un côté un peu daté dans le choix des exemples et des références, et une certaine rigidité théorique qui rend les applications pratiques peu convaincantes. Il faut donc voir maintenant si et comment ce sujet est repris et approfondi par d'autres chercheurs.