AbstractWe test for customer discrimination with data from more than 800 retail stores employing over 70,000 individuals matched to census data on the demographics of each store's community. While our tests detect some increase in sales when the workforce more closely resembles potential customers, the effects we find are modest in magnitude. Customer discrimination is neither strong nor pervasive. We find little payoff to matching employee demographics to those of potential customers except when the customers do not speak English. © 2010 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.
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Bibliographic InfoArticle provided by MIT Press in its journal The Review of Economics and Statistics.
Volume (Year): 92 (2010)
Issue (Month): 3 (August)
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- Pierre-Philippe COMBES & Bruno DECREUSE & Morgane LAOUENAN & Alain TRANNOY, 2013.
"Customer Discrimination and Employment OUtcomes: Theory and Evidence from the French Labor Market,"
Discussion Papers (IRES - Institut de Recherches Economiques et Sociales)
2013016, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
- Pierre-Philippe Combes & Bruno Decreuse & Morgane Laouenan & Alain Trannoy, 2011. "Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market," Working Papers halshs-00624435, HAL.
- Tsuru, Tsuyoshi & Owan, Hideo & Uehara, Katsuhito, 2010. "Price Discrimination and Social Network : Evidence from North American Auto Dealership Transaction Data," Discussion Paper Series a529, Institute of Economic Research, Hitotsubashi University.
- Matthew Parrett, 2011. "Customer Discrimination in Restaurants: Dining Frequency Matters," Journal of Labor Research, Springer, vol. 32(2), pages 87-112, June.
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