The demand for discrimination

old_uid5989
titleThe demand for discrimination
start_date2009/01/16
schedule10h
onlineno
summaryWe use a controlled field experiment – in which workers are not aware that they participate in an experiment – to measure the extent of “taste-based” discrimination based on ethnic stereotypes in Denmark. We identify “taste-based” discrimination by measuring workers’ productivities and by either providing decision makers with information about productivities of potential co-workers or not. We argue that this knowledge of productivity differentials is a good proxy for the cost of discrimination. We find a substantial willingness to pay for ethnic discrimination. However, discrimination is remarkably responsive to incentives. That is, we find that the demand for “taste-based” discrimination is downward-sloping.
responsiblesHollard