Fragile Self-Esteem. (23rd September 2021)

• Record Type: Journal Article
• Authors: Kőszegi, Botond; Loewenstein, George; Murooka, Takeshi
• Is Part Of: Review of economic studies. Volume 89:Number 4(2022)
• Page Start: 2026
• Page End: 2060
• Publication Date: 2021-09-23
• Subjects: Insecurity -- Self-esteem -- Personal equilibrium -- Self-esteem personal equilibrium -- Impostor syndrome -- Memory -- Overconfidence -- Confidence; D01 -- D11 -- D83 -- D91; Economics -- Periodicals; 330
• DOI: 10.1093/restud/rdab060
• Languages: English
• ISSNs: 0034-6527

Abstract

Abstract: We develop a model of fragile self-esteem—self-esteem that is vulnerable to objectively unjustified swings—and study its implications for choices that depend on, or are aimed at enhancing or protecting, one's self-view. In our framework, a person's self-esteem is determined by sampling his memories of ego-relevant outcomes in a fashion that in turn depends on how he feels about himself, potentially creating multiple fragile "self-esteem personal equilibria." Self-esteem is especially likely to be fragile, as well as unrealistic in either the positive or the negative direction, if being successful is important to the agent. A person with a low self-view might exert less effort when success is more important. An individual with a high self-view, in contrast, might distort his choices to prevent a collapse in self-esteem, with the distortion being greater if his true ability is lower. We discuss the implications of our results for mental well-being, education, job search, workaholism, and aggression.