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We introduce a model of two-sided statistical discrimination in which worker and firm beliefs are complementary. Firms … both empirical analysis designed to detect discrimination and policy meant to alleviate it. Affirmative action is much less … effective than in traditional statistical discrimination models. More generally, we demonstrate the futility of one …
Persistent link: https://www.econbiz.de/10012947657
side. We use the model to investigate the welfare effects of discrimination (also known as risk selection). We postulate … find that aggregate surplus decreases when risk aversion is high. When risk aversion is low however, discrimination …
Persistent link: https://www.econbiz.de/10011348719
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Persistent link: https://www.econbiz.de/10003268326
The cost of financial intermediation has declined in recent years thanks to technological progress and increased competition. I document this fact and I analyze two features of new financial technologies that have stirred controversy: returns to scale, and the use of big data and machine...
Persistent link: https://www.econbiz.de/10012831538
Housing discrimination is illegal. However, paired-tester audit experiments have revealed evidence of discrimination in … Discrimination Study and micro-level data on key attributes of neighborhoods in 28 US cities, we find strong evidence of … discrimination in the characteristics of neighborhoods towards which individuals are steered. Conditional upon the characteristics of …
Persistent link: https://www.econbiz.de/10012914702
There have been over 80 field experiments on traditional dimensions of discrimination in labor and housing markets … since 2000, in 23 countries. These studies nearly always find evidence of discrimination against minorities. However, the … estimates of discrimination in these studies can be biased if there is differential variation in the unobservable determinants …
Persistent link: https://www.econbiz.de/10012991675
This paper examines how high cost mortgage lending varies by race and ethnicity. It uses a unique panel data that matches a representative sample of mortgages in seven large metropolitan markets between 2004 and 2008 to public records of housing transactions and proprietary credit reporting...
Persistent link: https://www.econbiz.de/10013031298
A rich literature shows that ethnic discrimination is an omnipresent and highly persistent phenomenon. Little is known …, however, about how to reduce discrimination. This study reports the results of a large-scale field experiment we ran together … discrimination. …
Persistent link: https://www.econbiz.de/10012817152
A significant challenge to empirically testing theories of discrimination has been the difficulty of identifying taste …-based discrimination and of distinguishing it clearly from statistical discrimination. This paper addresses this problem through a two …-part empirical test of taste-based discrimination. First, it constructs measures of revealed preferences, which establish that World …
Persistent link: https://www.econbiz.de/10012771911