Hogyan lesz az etnikai előítéletből foglalkoztatási diszkrimináció? : a kisvállalatok szerepe

We analyze the employment gap between Roma and non-Roma men and women in local labor markets to test the hypothesis that ethnic prejudices against a minority have a more substantial labor market impact if the proportion of small firms is high in the local economy. We rely on Hungarian data from the 2011 census and several supplementary surveys and use the vote share of the then far-right "Jobbik" party to measure strong anti-Roma sentiments in a given district. The hypothesis is maintained after addressing alternative scenarios, using different measures of prejudice, and making a series of robustness checks. The results show that Jobbik votes or the high share of small firms alone are not conducive to lower Roma employment probability while their interaction does. The ethnic (residual) employment gap between Roma and non-Roma men is wider by 20-40 percent if the small firm share and Jobbik vote share are considerably higher than the country average. For women, we find much weaker effects.