TY  - UNPD
A1  - D'Acunto, Francesco
A1  - Fuster, Andreas
A1  - Weber, Michael
T1  - Diverse policy committees can reach underrepresented groups
T2  - LawFin working paper ; No. 21 , University of Chicago, Becker Friedman Institute for Economics Working Paper ; No. 2021-95
N2  - Increasing the diversity of policy committees has taken center stage worldwide, but whether and why diverse committees are more effective is still unclear. In a randomized control trial that varies the salience of female and minority representation on the Federal Reserve’s monetary policy committee, the FOMC, we test whether diversity affects how Fed information influences consumers’ subjective beliefs. Women and Black respondents form unemployment expectations more in line with FOMC forecasts and trust the Fed more after this intervention. Women are also more likely to acquire Fed-related information when associated with a female official. White men, who are overrepresented on the FOMC, do not react negatively. Heterogeneous taste for diversity can explain these patterns better than homophily. Our results suggest more diverse policy committees are better able to reach underrepresented groups without inducing negative reactions by others, thereby enhancing the effectiveness of policy communication and public trust in the institution.
T3  - LawFin Working Paper - 21 
Y1  - 2021
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/61661
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-616612
IS  - This version: August 2021
PB  - Center for Advanced Studies on the Foundations of Law and Finance, House of Finance, Goethe University
CY  - Frankfurt am Main
ER  -