"The loss of power: How illusions of alliance contribute to powerholders’ downfall", Brion & Anderson 2013:
Though people in positions of power have many advantages that sustain their power, stories abound of individuals who fall from their lofty perch. How does this happen? The current research examined the role of illusions of alliance, which we define as overestimating the strength of one’s alliances with others. We tested whether powerholders lose power when they possess overly positive perceptions of their relationships with others, which in turn leads to the weakening of those relationships. Studies 1 and 2 found that powerful individuals were more likely to hold illusions of alliance. Using laboratory as well as field contexts, Studies 3, 4, and 5 found that individuals with power who held illusions of alliance obtained fewer resources, were excluded more frequently from alliances, and lost their power. These findings suggest that power sometimes leads to its own demise because powerful individuals erroneously assume that others feel allied to them.
Courtesy of The Economist:
So not only do bosses set too much store by their strengths, as our Schumpeter column notes, they also habitually overestimate their ability to win respect and support from their underlings. Somehow, on reaching the corner office, they lose the knack of reading subtle cues in others’ behaviour: in a further experiment Mr Brion found that when a boss tells a joke to a subordinate, he loses his innate ability to distinguish between a real and fake smile.
Luke/SI asked me to look into what the academic literature might have to say about people in positions of power. This is a summary of some of the recent psychology results.
The powerful or elite are: fast-planning abstract thinkers who take action (1) in order to pursue single/minimal objectives, are in favor of strict rules for their stereotyped out-group underlings (2) but are rationalizing (3) & hypocritical when it serves their interests (4), especially when they feel secure in their power. They break social norms (5, 6) or ignore context (1) which turns out to be worsened by disclosure of conflicts of interest (7), and lie fluently without mental or physiological stress (6).
What are powerful members good for? They can help in shifting among equilibria: solving coordination problems or inducing contributions towards public goods (8), and their abstracted Far perspective can be better than the concrete Near of the weak (9).
These benefits may not exceed the costs (is inducing contributions all that useful with improved market mechanisms like assurance contracts - made increasingly famous thanks to Kickstarter?) Now, to forestall objections from someone like Robin Hanson that these traits - if negative - can be ameliorated by improved technology and organizations and the rest just represents our egalitarian forager prejudice against the elites and corporations who gave us the wealthy modern world, I would point out that these traits look like they would be quite effective at maximizing utility and some selected for in future settings…
(Additional cautions include that, in order to control for all sorts of confounds, these are generally small WEIRD samples in laboratory or university settings involving small-scale power shifts, priming, or other cues; as such, all the usual criticisms apply.)
1 Notes
2 References
“Power increases hypocrisy: Moralizing in reasoning, immorality in behavior”, Lammers et al 2010; warning, Stapel! But Lammers says committee cleared this paper.
“Moral Hypocrisy, Power and Social Preferences”, Rustichini & Villeval 2012:
“Breaking the Rules to Rise to Power: How Norm Violators Gain Power in the Eyes of Others”, Kleef et al 2011:
“Morality and Psychological Distance: A Construal Level Theory Perspective”, Eyal & Liberman:
“People with Power are Better Liars”, Carney et al 2010:
“Psychological perspectives on the fiduciary business”, Donald C. Langevoort
“The Dirt on Coming Clean: Perverse Effects of Disclosing Conflicts of Interest”, Cain et al 2005
“When Sunlight Fails to Disinfect: Understanding the Perverse Effects of Disclosing Conflicts of Interest”, Cain et al 2011
“Power Posing: Brief Nonverbal Displays Affect Neuroendocrine Levels and Risk Tolerance” Carney et al 2010
“Reality at Odds With Perceptions: Narcissistic Leaders and Group Performance”, Nevicka et al 2011:
“How quickly can you detect it? Power facilitates attentional orienting”, Slabu et al
“You focus on the forest when you’re in charge of the trees: Power priming and abstract information processing”, Smith& Trope 2006
“Powerful People Make Good Decisions Even When They Consciously Think”, Smith et al 2008
“Cooperation and Status in Organizations”, Eckel et al 2010
Another good set of studies focusing on rich/powerful behavior.
2 of the primary researchers write in a 2012 NYT op-ed “Greed Prevents Good”
Relevant studies:
Kraus & Keltner 2009, “Signs of socioeconomic status: a thin-slicing approach”:
Consistent with the previously cited studies about how acting rude or defecting is perceived as power.Kraus et al 2010 “Social Class, Contextualism, and Empathic Accuracy”:
See the previous discussions of blame, self-centeredness, lack of empathy, and rule-breaking; related: fundamental attribution bias.Stellar et al 2012, “Class and compassion: socioeconomic factors predict responses to suffering”:
Piff et al 2012, “Higher social class predicts increased unethical behavior”: