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Intrametropolitan Variation in Wage Rates: The Case of Atlanta Fast-Food Restaurant Workers

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  • Ihlanfeldt, Keith R
  • Young, Madelyn V

Abstract

This paper utilizes a unique data base to provide some rare evidence on wage variation within a metropolitan area. Positively-sloped wage gradients are found for both black and white employees of fast-food restaurants in Atlanta, Georgia. Blacks are found to work on that portion of the gradient where wage rates are lowest. Evidence on discrimination suggests that consumer prejudice affects the wages paid to black workers. As distance from the central business district center increases, the positive wage gradient effect is found to strongly dominate the negative effect on wages from greater consumer discrimination. Copyright 1994 by MIT Press.

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Bibliographic Info

Article provided by MIT Press in its journal Review of Economics & Statistics.

Volume (Year): 76 (1994)
Issue (Month): 3 (August)
Pages: 425-33

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Handle: RePEc:tpr:restat:v:76:y:1994:i:3:p:425-33

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Web page: http://mitpress.mit.edu/journals/

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Web: http://mitpress.mit.edu/journal-home.tcl?issn=00346535

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Cited by:
  1. Laurent Gobillon & Harris Selod & Yves Zenou, 2005. "The mechanisms of spatial mismatch," Research Unit Working Papers 0510, Laboratoire d'Economie Appliquee, INRA.
  2. Shihe Fu & Stephen L. Ross, 2013. "Wage Premia in Employment Clusters: How Important Is Worker Heterogeneity?," Journal of Labor Economics, University of Chicago Press, vol. 31(2), pages 271 - 304.
  3. Morgane Laouénan, 2013. ""Hate at First Sight": Evidence of Consumer Discrimination Against African-Americans in the US," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2013032, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  4. Combes, Pierre-Philippe & Decreuse, Bruno & Laouénan, Morgane & Trannoy, Alain, 2014. "Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market," IZA Discussion Papers 8150, Institute for the Study of Labor (IZA).
  5. Stoll, Michael A., 1999. "Spatial Job Search, Spatial Mismatch, and the Employment and Wages of Racial and Ethnic Groups in Los Angeles," Journal of Urban Economics, Elsevier, vol. 46(1), pages 129-155, July.
  6. repec:wyi:journl:002155 is not listed on IDEAS
  7. Harry J. Holzer & Keith R. Ihlanfeldt, 1998. "Customer Discrimination And Employment Outcomes For Minority Workers," The Quarterly Journal of Economics, MIT Press, vol. 113(3), pages 835-867, August.
  8. DeBeaumont, Ronald, 2009. "Occupational differences in the wage penalty for obese women," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(2), pages 344-349, March.

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