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Are Suburban Firms More Likely to Discriminate against African-Americans?

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  • Raphael, Steven
  • Stoll, Michael A.
  • Holzer, Harry J.

Abstract

This paper presents a test of the hypothesis that employers in suburban locations are more likely to discriminate against African-Americans than employers located in central cities. Using a difference-in-difference framework, we compare central city-suburban differences in racial hiring outcomes for firms where a white person is in charge of hiring (white employers, for short) to similar geographic differences in outcomes for firms where a black person is in charge of hiring (black employer). We find that both suburban black and white employers hire fewer blacks than their central-city counterparts. Moreover, the suburban/central city hiring gap among black employers is as large as, or larger than, that of white employers. Suburban black employers, however, receive many more applications from blacks and hire more blacks than do white firms in either location.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Urban Economics.

Volume (Year): 48 (2000)
Issue (Month): 3 (November)
Pages: 485-508

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Handle: RePEc:eee:juecon:v:48:y:2000:i:3:p:485-508

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Web page: http://www.elsevier.com/locate/inca/622905

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References

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  1. Harry J. Holzer & Keith R. Ihlanfeldt, 1996. "Spatial factors and the employment of blacks at the firm level," New England Economic Review, Federal Reserve Bank of Boston, Federal Reserve Bank of Boston, issue May, pages 65-86.
  2. Harry J. Holzer, . "Black Applicants, Black Employees, and Urban Labor Market Policy," Institute for Research on Poverty Discussion Papers, University of Wisconsin Institute for Research on Poverty 1162-98, University of Wisconsin Institute for Research on Poverty.
  3. O'Regan, Katherine M. & Quigley, John M., 1996. "Spatial Effects upon Unemployment Outcomes: The Case of New Jersey Teenagers," Berkeley Program on Housing and Urban Policy, Working Paper Series, Berkeley Program on Housing and Urban Policy qt5cn8m94b, Berkeley Program on Housing and Urban Policy.
  4. Timothy Bates, 1994. "Utilization of minority employees in small business: A comparison of nonminority and black-owned urban enterprises," The Review of Black Political Economy, Springer, Springer, vol. 23(1), pages 113-121, June.
  5. Daniel Immergluck, 1996. "What employers want: Job prospects for less-educated workers," The Review of Black Political Economy, Springer, Springer, vol. 24(4), pages 135-143, June.
  6. Steven Raphael, 1998. "Inter- and intra-ethnic comparisons of the central cityûsuburban youth employment differential: Evidence from the Oakland metropolitan area," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, ILR Review, Cornell University, ILR School, vol. 51(3), pages 505-524, April.
  7. Marc Bendick & Charles Jackson & Victor Reinoso, 1994. "Measuring employment discrimination through controlled experiments," The Review of Black Political Economy, Springer, Springer, vol. 23(1), pages 25-48, June.
  8. Harry J. Holzer & Keith R. Ihlanfeldt, 1998. "Customer Discrimination And Employment Outcomes For Minority Workers," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 113(3), pages 835-867, August.
  9. Becker, Gary S., 1971. "The Economics of Discrimination," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226041162, 01-2013.
  10. Keith Ihlanfeldt, 1992. "Job Accessibility and the Employment and School Enrollment of Teenagers," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, W.E. Upjohn Institute for Employment Research, number jaes.
  11. William Frey & Reynolds Farley, 1996. "Latino, Asian, and black segregation in U.S. metropolitan areas: Are multiethnic metros different," Demography, Springer, Springer, vol. 33(1), pages 35-50, February.
  12. Leonard, Jonathan S., 1987. "The interaction of residential segregation and employment discrimination," Journal of Urban Economics, Elsevier, Elsevier, vol. 21(3), pages 323-346, May.
  13. Michael A. Stoll, 1999. "Spatial mismatch, discrimination, and male youth employment in the Washington, DC area: Implications for residential mobility policies," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., John Wiley & Sons, Ltd., vol. 18(1), pages 77-98.
  14. Holzer Harry J. & Ihlanfeldt Keith R. & Sjoquist David L., 1994. "Work, Search, and Travel among White and Black Youth," Journal of Urban Economics, Elsevier, Elsevier, vol. 35(3), pages 320-345, May.
  15. Ihlanfeldt, Keith R & Sjoquist, David L, 1990. "Job Accessibility and Racial Differences in Youth Employment Rates," American Economic Review, American Economic Association, American Economic Association, vol. 80(1), pages 267-76, March.
  16. Ihlanfeldt, Keith R & Young, Madelyn V, 1996. "The Spatial Distribution of Black Employment between the Central City and the Suburbs," Economic Inquiry, Western Economic Association International, Western Economic Association International, vol. 34(4), pages 693-707, October.
  17. David T. Ellwood, 1986. "The Spatial Mismatch Hypothesis: Are There Teenage Jobs Missing in the Ghetto?," NBER Chapters, National Bureau of Economic Research, Inc, in: The Black Youth Employment Crisis, pages 147-190 National Bureau of Economic Research, Inc.
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Citations

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Cited by:
  1. Holzer, Harry J. & Quigley, John M. & Raphael, Steven, 2004. "Public Transit and the Spatial Distribution of Minority Employment: Evidence from a Natural Experiment," Berkeley Program on Housing and Urban Policy, Working Paper Series, Berkeley Program on Housing and Urban Policy qt0f3725dm, Berkeley Program on Housing and Urban Policy.
  2. Harry J. Holzer & Steven Raphael & Michael A. Stoll, 2001. "Will Employers Hire Ex-Offenders? Employer Preferences, Background Checks, and Their Determinants," JCPR Working Papers, Northwestern University/University of Chicago Joint Center for Poverty Research 238, Northwestern University/University of Chicago Joint Center for Poverty Research.
  3. repec:hal:journl:hal-00745109 is not listed on IDEAS
  4. repec:hal:cesptp:hal-00745109 is not listed on IDEAS
  5. Jacquemet, Nicolas & Yannelis, Constantine, 2012. "Indiscriminate discrimination: A correspondence test for ethnic homophily in the Chicago labor market," Labour Economics, Elsevier, Elsevier, vol. 19(6), pages 824-832.
  6. Laurent Gobillon & Harris Selod & Yves Zenou, 2005. "The mechanisms of spatial mismatch," Research Unit Working Papers, Laboratoire d'Economie Appliquee, INRA 0510, Laboratoire d'Economie Appliquee, INRA.
  7. Holzer, Harry J. & Reaser, Jess, 2000. "Black Applicants, Black Employees, and Urban Labor Market Policy," Journal of Urban Economics, Elsevier, Elsevier, vol. 48(3), pages 365-387, November.
  8. Ted Mouw, 2002. "Are black workers missing the connection? The effect of spatial distance and employee referrals on interfirm racial segregation," Demography, Springer, Springer, vol. 39(3), pages 507-528, August.
  9. Marianne Bertrand & Sendhil Mullainathan, 2003. "Are emily and greg more employable than lakisha and jamal? A field experiment on labor market discrimination," Natural Field Experiments, The Field Experiments Website 00216, The Field Experiments Website.
  10. Hamermesh, Daniel S., 1999. "LEEping into the future of labor economics: the research potential of linking employer and employee data," Labour Economics, Elsevier, Elsevier, vol. 6(1), pages 25-41, March.
  11. Selod, Harris & Zenou, Yves, 2003. "Does City Structure Affect the Labor Market Outcomes of Black Workers?," IZA Discussion Papers 928, Institute for the Study of Labor (IZA).

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