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Labor market discrimination of minorities? yes, but not in job offers

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  • Bøg, Martin
  • Kranendonk, Erik
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    Abstract

    This paper presents evidence from a field experiment designed to evaluate the efficacy of anonymous application procedures. While the policy evaluation itself is of interest, more importantly the experiment provides a unique opportunity to detect race based differential treatment in a controlled market environment. Over a 6 month period we observe all applications sent in response to local public sector vacancies. We observe both the callback and the job oer decision. We compare decisions of recruiters when they can observe ethnic markers (control) with a treatment condition where ethnic markers are absent. We find a substantial differential in the callback decision. Interestingly, we do not find evidence for differential treatment in the job offer decision. A follow up experiment provides indications that recruiters respond strategically to the announcement of the results of the first experiment.

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    Bibliographic Info

    Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 33332.

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    Date of creation: 15 Apr 2011
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    Handle: RePEc:pra:mprapa:33332

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    Keywords: Field Experiment; Discrimination; Public Sector; Anonymous Application Procedures;

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    1. Claudia Goldin & Cecilia Rouse, 1997. "Orchestrating Impartiality: The Impact of "Blind" Auditions on Female Musicians," NBER Working Papers 5903, National Bureau of Economic Research, Inc.
    2. Carlsson, Magnus & Rooth, Dan-Olof, 2007. "Evidence of ethnic discrimination in the Swedish labor market using experimental data," Labour Economics, Elsevier, vol. 14(4), pages 716-729, August.
    3. Marianne Bertrand & Sendhil Mullainathan, 2004. "Are Emily and Greg More Employable Than Lakisha and Jamal? A Field Experiment on Labor Market Discrimination," American Economic Review, American Economic Association, vol. 94(4), pages 991-1013, September.
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    6. John List, 2004. "The nature and extent of discrimination in the marketplace: Evidence from the field," Natural Field Experiments 00299, The Field Experiments Website.
    7. Stefan Eriksson & Jonas Lagerström, 2012. "Detecting discrimination in the hiring process: evidence from an Internet-based search channel," Empirical Economics, Springer, vol. 43(2), pages 537-563, October.
    8. Glenn W. Harrison & John A. List, 2004. "Field Experiments," Journal of Economic Literature, American Economic Association, vol. 42(4), pages 1009-1055, December.
    9. Carlsson, Magnus & Rooth, Dan-Olof, 2008. "Is It Your Foreign Name or Foreign Qualifications? An Experimental Study of Ethnic Discrimination in Hiring," IZA Discussion Papers 3810, Institute for the Study of Labor (IZA).
    10. P. A. Riach & J. Rich, 2002. "Field Experiments of Discrimination in the Market Place," Economic Journal, Royal Economic Society, vol. 112(483), pages 480-518, November.
    11. Carlsson, Magnus, 2008. "Is it Your Foreign Name or Foreign Qualifications? An Experimental Study of Ethnic Discrimination in Hiring," CAFO Working Papers 2009:2, Centre for Labour Market Policy Research (CAFO), School of Business and Economics, Linnaeus University.
    12. Altonji, Joseph G. & Blank, Rebecca M., 1999. "Race and gender in the labor market," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 48, pages 3143-3259 Elsevier.
    13. Olof Aslund & Oskar N. Skans, 2012. "Do Anonymous Job Application Procedures Level the Playing Field?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 65(1), pages 82-107, January.
    14. James J. Heckman, 1998. "Detecting Discrimination," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 101-116, Spring.
    15. Richard Startz & Lundberg, . "Private Discrimination and Social Intervention in Competitive Labor Markets," Rodney L. White Center for Financial Research Working Papers 19-81, Wharton School Rodney L. White Center for Financial Research.
    16. Phelps, Edmund S, 1972. "The Statistical Theory of Racism and Sexism," American Economic Review, American Economic Association, vol. 62(4), pages 659-61, September.
    17. Peter Norman, 2003. "Statistical Discrimination and Efficiency," Review of Economic Studies, Wiley Blackwell, vol. 70(3), pages 615-627, 07.
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    Cited by:
    1. Krause, Annabelle & Rinne, Ulf & Zimmermann, Klaus F., 2012. "Anonymous Job Applications in Europe," IZA Discussion Papers 7096, Institute for the Study of Labor (IZA).

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