We add to the small set of studies that investigate adaptation to low income among the poor and extend the analysis to education and health. In accordance with previous studies, we find that beliefs about the amounts of income necessary to get by and live well increase with both own household...

We exploit a policy designed to randomly allocate roommates in a large South African university to investigate whether inter-racial interaction affects stereotypes, attitudes and performance. Using Implicit Association Tests, we find that living with a roommate of a different race reduces white...