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How Can Positional Concerns Prevent the Adoption of Socially Desirable Innovations?

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  • Salima Salhi
  • Gilles Grolleau
  • Naoufel Mzoughi
  • Angela Sutan

Abstract

We study the role of positional concerns in explaining the (non-) diffusion of profitable and environmentally friendly innovations in situations where there is no conventional prisoner dilemma. Based on anecdotal evidence from farming activities, we introduce the concept of negative positional goods, that is, goods that destroy status in a given reference group, and show how interactions between status concerns and profitability can lead to unexpected outcomes. Several policy implications are drawn.

Suggested Citation

  • Salima Salhi & Gilles Grolleau & Naoufel Mzoughi & Angela Sutan, 2012. "How Can Positional Concerns Prevent the Adoption of Socially Desirable Innovations?," Journal of Economic Issues, Taylor & Francis Journals, vol. 46(3), pages 799-810.
    • Handle: RePEc:mes:jeciss:v:46:y:2012:i:3:p:799-810
    DOI: 10.2753/JEI0021-3624460311
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    Citations

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    Cited by:

    1. Grolleau Gilles & Marciano Alain & Mzoughi Naoufel, 2018. "How Status Seeking may Prevent Coasean Bargaining," Review of Law & Economics, De Gruyter, vol. 14(2), pages 1-20, July.
    2. Barbara, Latifa & Grolleau, Gilles & Houfaf Khoufaf, Assia & Meriane, Youcef & Mzoughi, Naoufel, 2018. "Positional concerns and framing effects in financial preferences," The Quarterly Review of Economics and Finance, Elsevier, vol. 68(C), pages 183-189.
    3. Läpple, Doris & Kelley, Hugh, 2013. "Understanding the uptake of organic farming: Accounting for heterogeneities among Irish farmers," Ecological Economics, Elsevier, vol. 88(C), pages 11-19.
    4. Jérémy Celse, 2018. "Do You Enjoy Having More Than Others or More Than Another? Exploring the Relationship Between Relative Concerns and the Size of the Reference Group," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 138(3), pages 1089-1118, August.
    5. G. Grolleau & Naoufel Mzoughi & Sophie Thoyer, 2015. "Using monetary incentives in agri-environmental policies: Can we do more with less? [Les incitations monétaires dans la politique agro-environnementale : peut-on faire mieux avec moins ?]," Post-Print hal-01884947, HAL.
    6. GROLLEAU, Gilles & MZOUGHI, Naoufel & THOYER, Sophie, 2015. "Les incitations monétaires dans la politique agro-environnementale : peut-on faire mieux avec moins ?," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement (RAEStud), Institut National de la Recherche Agronomique (INRA), vol. 96(2), June.
    7. Sonia Lequin & Gilles Grolleau & Naoufel Mzoughi, 2019. "Harnessing the power of identity to encourage farmers to protect the environment," Post-Print hal-01999647, HAL.
    8. Gilles Grolleau & Deborah Peterson, 2015. "Biodiversity conservation through private initiative: the case of Earth Sanctuaries Ltd," European Journal of Law and Economics, Springer, vol. 40(2), pages 293-312, October.

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