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Affirmative Action in Hierarchies

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  • Suzanne Scotchmer

    (University of California, Berkeley & NBER)

Abstract

There is considerable evidence that males are more prone to take risks than females. This difference has implications for rates of promotion in hierarchies where promotion is based on random signals of ability. I explore the promotion consequences of three types of performance standards: gender-blind standards, standards designed to promote agents of equal ability on average, and standards designed to promote equal numbers of both genders. These three objectives lead to different promotion standards, which highlights among other things that the goal of affirmative action is not well defined. Lower promotion standards for females can be necessary to ensure either equal abilities or equal numbers in the promoted populations.

Suggested Citation

  • Suzanne Scotchmer, 2003. "Affirmative Action in Hierarchies," Industrial Organization 0303005, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpio:0303005
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    References listed on IDEAS

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    1. Catherine C. Eckel & Philip J. Grossman, 2002. "Sex Differences and Statistical Stereotyping in Attitudes Toward Financial Risk," Monash Economics Working Papers archive-03, Monash University, Department of Economics.
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    8. Eckel, Catherine C. & Grossman, Philip J., 2008. "Men, Women and Risk Aversion: Experimental Evidence," Handbook of Experimental Economics Results, in: Charles R. Plott & Vernon L. Smith (ed.), Handbook of Experimental Economics Results, edition 1, volume 1, chapter 113, pages 1061-1073, Elsevier.
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    Cited by:

    1. Dino Falaschetti, 2012. "A Sex Difference in Risk Taking and Promotions in Hierarchies: Evidence from Females in Legislatures," Journal of Law and Economics, University of Chicago Press, vol. 55(3), pages 477-502.

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    More about this item

    JEL classification:

    • J7 - Labor and Demographic Economics - - Labor Discrimination

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