Race&GenderDiffs

Race&GenderDiffs - Race and Gender Differentials in...

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Race and Gender Differentials in the Labor Market: An Overview of Models and Evidence 1. Taste-Based Models of Discrimination (Becker 1971): Essentially compensating- differentials models in which employers, co-workers or customers of one group have a distaste for interacting with another group. -can generate equilibrium wage differentials between equally-productive groups -segregation can be optimal, esp in co-worker case -not typically applied to gender differentials (but see Goldin’s “pollution theory” 2002; Lindbeck and Snower on outsider harassment 1988) -employer discrim model predicts that product and capital market competition should eliminate discrimination; see however Goldberg 1982. -purely competitive models have difficulty explaining observed punishments of ‘deviating’ nondiscriminators. Can Akerlof’s recent work on identity help? -Lang, Manove and Dickens (among others) have embedded discrim tastes into a search model. -see Charles and Guryan JPE 2008 for a recent example. 2. Statistical Discrimination Models.
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Race&GenderDiffs - Race and Gender Differentials in...

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