Local labor markets and taste-based discrimination

Abstract This article appeals to heterogeneity in workers’ non-wage preferences to model taste-based discrimination. Firms hire both types of workers and pay lower wages to minority workers, whatever their taste for discrimination. A single prejudiced firm in the market produces a substantial wage g...

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Bibliographic Details
Main Author: Clémence Berson
Format: Article
Language:English
Published: Sciendo 2016-04-01
Series:IZA Journal of Labor Economics
Subjects:
Online Access:http://link.springer.com/article/10.1186/s40172-016-0045-9