Why do so many voters support elected officials who are determined to cut programs (i.e Medicaid benefits) that those same voters rely upon?
Let’s start with a concept known as “last place aversion”. In a paper by that name, Ilyana Kuziemko, an economist at Princeton, Taly Reich, a professor of marketing at Yale, and Ryan W. Buell and Michael I. Norton, both at Harvard Business School, describe the phenomenon in which relatively low income individuals “oppose redistribution because they fear it might differentially help a ‘last-place’ group to whom they can currently feel superior.”
Those thus positioned “exhibit a particular aversion to being in last place, such that a potential drop in rank creates the greatest disutility for those already near the bottom of the distribution.”
Among the findings of this group of researchers: people “making just above the minimum wage are the most likely to oppose its increase.”
Applying last-place aversion theory to means-tested federal programs for the poor reveals that the group most likely to voice opposition is made up of relatively poor whites right above the cutoff level to qualify for such programs.
Even more important than “last place aversion,” though, is the issue of what we might call deservingness: white Americans, more than citizens of other nations, distinguish between those they view as the deserving and the undeserving poor and they are much more willing to support aid for those they see as deserving: themselves.
“Americans believe that the poor are lazy; Europeans believe the poor are unfortunate,” report Alesina and Glaeser.
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source: https://www.nytimes.com/2018/07/19/opinion/voting-welfare-racism-republicans.html
