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Interplay between different forms of power and meritocratic considerations shapes fairness perceptions
Giannis Lois1,2, Arno Riedl3,4,5
1Department of Microeconomics and Public Economics, School of Business and Economics, Maastricht University, 6200 MD, Maastricht, The Netherlands. i.lois@maastrichtuniversity.nl.
Power imbalances influence fairness perceptions and resource allocation. Procedural justice, but not distributive justice, can create symmetric fairness views, even with power disparities.
Area of Science:
- Social Psychology
- Behavioral Economics
- Organizational Behavior
Background:
- Power imbalances are common and often lead to unequal resource distribution.
- The interplay between different forms of power and meritocratic principles in shaping fairness perceptions is not well understood.
Purpose of the Study:
- To investigate how decision power and outside options influence bargaining behavior and fairness perceptions.
- To examine the role of meritocratic considerations, specifically procedural and distributive justice, in moderating power effects on fairness.
Main Methods:
- Utilized modified Ultimatum Games to simulate power dynamics and bargaining scenarios.
- Manipulated decision power and the availability of attractive outside options to create power imbalances.
- Assessed fairness perceptions and allocation behaviors of powerful versus powerless individuals.
Main Results:
- Increased decision power or outside options independently led to self-advantageous allocations and self-serving fairness perceptions.
- A lack of both power forms resulted in self-disadvantageous allocations but did not influence fairness perceptions.
- Procedural justice (meritocratic power acquisition) created symmetric fairness perceptions, while distributive justice did not moderate power effects.
Conclusions:
- Powerful individuals, but not powerless ones, exhibit cognitive dissonance reduction by adopting self-serving fairness interpretations.
- Procedural justice plays a crucial role in mitigating asymmetric power effects on fairness perceptions.
- Behavior mediates the adjustment of fairness perceptions in response to power dynamics.
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