A Model of Positive Self-Image in Subjective Assessments
نویسندگان
چکیده
This paper suggests a mechanism that describes individuals’ positive self-image in subjective assessments of their relative abilities. The mechanism assumes individuals have heterogeneous production functions that determine ability as a function of multiple skills; make skill-enhancing investments with the goal of maximizing their ability; and make ability comparisons using their own production function. Within this framework, the paper provides conditions under which there is positive selfimage. Positive self-image is increasing in the ease of the task, the number of different skills needed for the task, and the variability of production technologies in the population. (JEL A12, D01)
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