Economics Insights @ CBS

Although it is known that certain names gain popularity within a culture because of historical events, it is unknown how names become associated with different social categories in the first place. We propose that vocal cord vibration during the pronunciation of an initial phoneme plays a critical role in explaining which names are assigned to males versus females.

The current research explores why people desire power and how that desire can be satisfied. We propose that a position of power can be subjectively experienced as conferring influence over others or as offering autonomy from the influence of others. Conversely, a low-power position can be experienced as lacking influence or lacking autonomy. Nine studies show that subjectively experiencing one’s power as autonomy predicts the desire for power, whereas the experience of influence over others does not.

The literature assessing whether mutual fund managers have skill typically regards market timing or stock picking skills as immutable attributes of a manager or fund. Yet, measures of these skills appear to vary over the business cycle. This paper offers a rational explanation, arguing that timing and picking are tasks. A skilled manager can choose how much of each task to attend to. Using tools from the rational inattention literature, we show that in booms, a manger should pick stocks and in recessions, he should pay more attention to his market timing.