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Who is Hurt by Discimination?

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Author Info

  • Waisman, Gisela

    ()
    (Stockholm University Linnaeus Center for Integration Studies - SULCIS)

  • Larsen, Birthe

    ()
    (Copenhagen Business School, Department of Economics)

Abstract

The effects of discrimination of immigrants on the labour market are studied within a search and wage-bargaining setting including a risk of losing skills during the experience of unemployment. The negative effects of discrimination in the form of higher unemployment and lower wages spread to all workers, immigrants and natives, in all sectors of the economy. The effect is stronger for immigrants, but natives also suffer. An increase in the share of immigrants in the economy exacerbates the problems of discrimination.

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Bibliographic Info

Paper provided by Stockholm University Linnaeus Center for Integration Studies - SULCIS in its series SULCIS Working Papers with number 2008:4.

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Length: 33 pages
Date of creation: 01 Oct 2008
Date of revision:
Handle: RePEc:hhs:sulcis:2008_004

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Postal: Stockholm University Linnaeus Center for Integration Studies - SULCIS, Stockholm University, S-10691 Stockholm, Sweden
Web page: http://www.su.se/sulcis
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Keywords: discrimination; unemployment; search; matching; wages;

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References

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  1. Luca Flabbi, 2004. "Gender Discrimination Estimation in a Search Model with Matching and Bargaining," Working Papers gueconwpa~04-04-08, Georgetown University, Department of Economics.
  2. Black, Dan A, 1995. "Discrimination in an Equilibrium Search Model," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 309-33, April.
  3. George J. Borjas & Stephen G. Bronars, 1989. "Consumer Discrimination and Self-Employment," NBER Working Papers 2627, National Bureau of Economic Research, Inc.
  4. Rosen, Asa, 1997. "An equilibrium search-matching model of discrimination," European Economic Review, Elsevier, vol. 41(8), pages 1589-1613, August.
  5. Helena Skyt Nielsen & Michael Rosholm & Nina Smith & Leif Husted, 2004. "Qualifications, discrimination, or assimilation? An extended framework for analysing immigrant wage gaps," Empirical Economics, Springer, vol. 29(4), pages 855-883, December.
  6. Larsen, B., 1998. "Minimum Wages, Technological Progress and Loss of Skill," Papers 98-03, Centre for Labour Market and Social Research, Danmark-.
  7. Riach, Peter A & Rich, Judith, 1991. "Testing for Racial Discrimination in the Labour Market," Cambridge Journal of Economics, Oxford University Press, vol. 15(3), pages 239-56, September.
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Cited by:
  1. Waisman, Gisela & Larsen, Birthe, 2007. "Do attitudes towards immigrants matter?," Working Papers 11-2007, Copenhagen Business School, Department of Economics.

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