Discrimination in the Online Market
We examine taste-based and statistical discrimination in an online market. Our approach investigates the unique setting of baseball cards to detect consumer tastes for discrimination based on the race of the player on the card. Our data set allows us to track the transaction history of each card, allowing us to also measure investor discrimination under market uncertainty. Following over 1.6 million transactions of baseball cards, we find that historically consumers have consistently paid less for cards of black players. In recent years this trend has reversed. In addition, we find strong evidence for statistical discrimination in the behavior of investors: more experienced investors discriminate less, place a higher weight on card and player characteristics, and receive higher returns than less experienced investors. We also find evidence that the degree of discrimination is sensitive to information shocks: market participants and the returns of cards of black players are sensitive to major US racial protests. Our findings provide novel insight into the nature of racial biases in society, as our unique data set allows us to directly measure, test, and compare taste-based and statistical discrimination over time, and to examine how policy can alter the level of discrimination of market participants
Year of publication: |
[2022]
|
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Authors: | Wooders, Andrew |
Publisher: |
[S.l.] : SSRN |
Subject: | Online-Marketing | Internet marketing | Diskriminierung | Discrimination | Online-Handel | Online retailing | Internet | Electronic Commerce | E-commerce | Arbeitsmarktdiskriminierung | Labour market discrimination | Ethnische Diskriminierung | Ethnic discrimination | Preisdifferenzierung | Price discrimination |
Saved in:
freely available
Extent: | 1 Online-Ressource (71 p) |
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Type of publication: | Book / Working Paper |
Language: | English |
Notes: | Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments November 17, 2020 erstellt |
Other identifiers: | 10.2139/ssrn.3964267 [DOI] |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10013313035
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