Preprint of "Income Inequality Reduces Civic Honesty"
Income inequality has been shown to have a detrimental impact on a wide range of psychological, economic, and social outcomes. In this study, we focus on the role of income inequality in reducing civic honesty. Study 1 reanalyzed data of a “lost wallet” experiment conducted by Cohn, Maréchal, Tannenbaum, and Zünd (2019) in 355 cities spread across 40 countries. Multi-level analyses indicated that citizens in countries with higher income inequality were less likely to return a lost wallet. Study 2 examined the causal effects of income inequality by utilizing an experimental design. We found that income inequality reduced one’s personal desire to return a lost wallet. Convergent findings from two studies indicate the crucial role played by income inequality in reducing civic honesty.