Belief Flipping in a Dynamic Model of Statistical Discrimination

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Belief Flipping in a Dynamic Model of Statistical Discrimination

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Title: Belief Flipping in a Dynamic Model of Statistical Discrimination
Author: Fryer, Roland
Citation: Fryer, Roland G. Jr. 2007. Belief flipping in a dynamic model of statistical discrimination. Journal of Public Economics 91(5-6): 1151-1166.
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Abstract: The literature on statistical discrimination shows that ex-ante identical groups may be differentially treated in discriminatory equilibria. This paper constructs a dynamic model of statistical discrimination and explores what happens to the individuals who nonetheless overcome the initial discrimination. If an employer discriminates against a group of workers in her initial hiring, she may actually favor the successful members of that group when she promotes from within the firm. The worker's welfare implications (i.e. who benefits from an employer's discriminatory hiring practices) are unclear. Even though agents face discrimination initially, some may be better off because of it.
Published Version: http://dx.doi.org/10.1016/j.jpubeco.2006.05.015
Terms of Use: This article is made available under the terms and conditions applicable to Other Posted Material, as set forth at http://nrs.harvard.edu/urn-3:HUL.InstRepos:dash.current.terms-of-use#LAA
Citable link to this page: http://nrs.harvard.edu/urn-3:HUL.InstRepos:2955768

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  • FAS Scholarly Articles [7218]
    Peer reviewed scholarly articles from the Faculty of Arts and Sciences of Harvard University
 
 

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