The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd


  • Steven N. Durlauf
  • Lawrence E. Blume
Reference work entry


The many contemporary characterizations of stigma share the assumption that individuals have characteristics that devalue them in the eyes of others. The observer’s response leads to status loss and discrimination. Stigmatized attributes, their linkage to a particular set of stereotypes and the general response to those stereotypes are shared within a particular ingroup, and thus are fundamental to social identity. Stigmatization affects the allocation of resources through direct discrimination, self-fulfilling beliefs, and identity threat.


Becker, Gary Benefits Contact hypothesis Crime Demographics Discrimination Goffman, Erving Identity threat Myrdal, Gunnar Outgroup Racial discrimination Resource allocation Self-fulfilling beliefs Slavery Stereotypes Stigma Vicious circle Welfare programmes 

JEL Classifications

D01 Z1 
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© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • Steven N. Durlauf
    • 1
  • Lawrence E. Blume
    • 1
  1. 1.