Wealth and Welfare: Divergent Moral Reactions to Ethical Consumer Choices

18 Pages Posted: 21 Mar 2016 Last revised: 29 Jan 2017

See all articles by Jenny Olson

Jenny Olson

Indiana University - Kelley School of Business - Department of Marketing

Brent McFerran

Simon Fraser University (SFU) - Beedie School of Business

Andrea Morales

Arizona State University (ASU)

Darren W. Dahl

University of British Columbia (UBC) - Sauder School of Business

Date Written: March 19, 2016

Abstract

This article examines perceptions of low-income consumers receiving government assistance and the choices they make, showing that this group is viewed differently than those with more resources, even when making identical choices. A series of five experiments reveal that ethical purchases polarize moral judgments: whereas individuals receiving government assistance are perceived as less moral when choosing ethical (vs. conventional) products, income earners, particularly high-income individuals, are perceived as more moral for making the identical choice. Price is a central component of this effect, as equating the cost of ethical and conventional goods provides those receiving government assistance some protection against harsh moral judgments when choosing ethically. Moreover, earning one’s income drives perceptions of deservingness, or the right to spend as one desires. Those who receive assistance via taxpayer dollars are under greater scrutiny (frequently resulting in harsher moral judgments) by others. In addition to influencing perceptions of individual consumers, the results demonstrate that such attributions extend to groups who make ethical choices on others’ behalf, and that these attributions have real monetary consequences for non-profit organizations.

Keywords: ethical consumption, moral psychology, attribution theory, equity theory, prosocial behavior, income, poverty, welfare

JEL Classification: I31, M31

Suggested Citation

Olson, Jenny and McFerran, Brent and Morales, Andrea and Dahl, Darren W., Wealth and Welfare: Divergent Moral Reactions to Ethical Consumer Choices (March 19, 2016). Journal of Consumer Research, 42 (April 2016), 879-96, Available at SSRN: https://ssrn.com/abstract=2750628

Jenny Olson (Contact Author)

Indiana University - Kelley School of Business - Department of Marketing ( email )

Kelley School of Business
Bloomington, IN 47405
United States

Brent McFerran

Simon Fraser University (SFU) - Beedie School of Business ( email )

8888 University Drive
Burnaby, British Colombia V5A 1S6
Canada

HOME PAGE: http://beedie.sfu.ca/profiles/BrentMcFerran

Andrea Morales

Arizona State University (ASU) ( email )

Darren W. Dahl

University of British Columbia (UBC) - Sauder School of Business ( email )

2053 Main Mall
Vancouver, BC V6T 1Z2
Canada
604-822-8346 (Phone)

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