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Intra-Generational Social Class Mobility in Hungary Between 1992 and 2007-the Role of Self-Confidence

100%

Keller T.

nr 3

This paper analyses the intra-generational social class mobility in Hungary between 1992 and 2007 using Hungarian panel data. Social class position is used as an occupation based typology corrected with a social status index (containing income, wealth and housing dimension). Self-confidence reflected respondents’ problem solving skills, determination, efficacy and optimism. Mobilizing the gain of panel data self-confidence was set to be stable over time and was measured prior to social class position (in order to avoid endogenity). The results of multivariate logit models showed that self-confidence has an impact on working class and deprived class position in 2007, even after controlling prior class position measured in 1992. People with high self-confidence were less likely represented in the deprived position and were more likely to belong to the working class. The decomposition of total effects of self-confidence into direct and indirect effects (mediated by schooling) revealed that in the case of higher status, social classes (elite, upper middle class, and middle class) self-confidence also had a significant impact however this was mainly transmitted through the channel of education.

Self-confidence and Earning Inequalities: A Test on Hungarian Data

100%

Keller T.

nr 3

401–425

It is easy to see that highly fatalistic, inefficient persons believe that their actions have little outcome. Because greater fatalism lowers an employee’s effort level, it may result in lower wages, while the anti-fatalistic attitude translates into more effective work that in turn may be rewarded with a higher salary. In this article the author tests a self-confidence scale that is similar to the most widely used Rotter locus of control scale. People with high self-confidence have determination, feel they have an influence on their future, and are optimistic. In the analysis the author investigates the predictive power of self-confidence in wage equations using Hungarian data.