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Speaking and saving
January/February 2012
by Bruce Fellman
Want to end the various global debt crises? Try
abandoning English, Greek, and Italian in favor of German, Finnish, and Korean.
“People whose languages force them to speak differently about the future than
the present tend to save less,” says behavioral economist Keith Chen, an
associate professor at the School of Management. “Patterns of speech can
influence patterns of thought—and action.”
In a working paper, Chen looked at two major groups of
world languages. Users of English and the like—whom linguists call strong-FTR
(future-time reference) speakers—use words like shall or will to indicate the future; German and other weak-FTR speakers are under no such
linguistic obligation and instead often rely on context.
Chen wondered whether strong-FTR speakers, primed to
see present and future as disconnected, might tend to overlook later rewards in
favor of the here and now. He used two international datasets to look for
correlation between FTR and economics. “I found it in spades,” he says.
Weak-FTR speakers were 30 percent more likely to have
saved in any given year. By retirement, an individual in that group had
accumulated an average of 170,000 Euros (about $225,000 US) more than an
otherwise comparable strong-FTR speaker. The finding encompassed entire countries:
those whose dominant language had a weak FTR saved, on average, 6 percent more
of their GDP per year than their strong-FTR counterparts.
“There’s now a lot of good evidence that people who
talk differently think differently, in corresponding ways,” comments Daniel
Casasanto, an assistant professor at the New School for Social Research, in an
e-mail. “And in some cases, there’s evidence that language doesn’t just reflect
underlying cross-cultural differences; using language changes the way people
think, creating cross-cultural differences.”  |