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Do Field Experiments on Labor and Housing Markets Overstate Discrimination? A Re-examination of the Evidence

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  • David Neumark
  • Judith Rich

Abstract

Since 2000, more than 80 field experiments across 23 countries consider the traditional dimensions of discrimination in labor and housing markets—such as discrimination based on race. These studies nearly always find evidence of discrimination against minorities. The estimates of discrimination in these studies can be biased, however, if there is differential variation in the unobservable determinants of productivity or in the quality of majority and minority groups. It is possible that this experimental literature as a whole overstates the evidence of discrimination. The authors re-assess the evidence from the 10 existing studies of discrimination that have sufficient information to correct for this bias. For the housing market studies, the estimated effect of discrimination is robust to this correction. For the labor market studies, by contrast, the evidence is less robust, as just over half of the estimates of discrimination fall to near zero, become statistically insignificant, or change sign.

Suggested Citation

  • David Neumark & Judith Rich, 2019. "Do Field Experiments on Labor and Housing Markets Overstate Discrimination? A Re-examination of the Evidence," ILR Review, Cornell University, ILR School, vol. 72(1), pages 223-252, January.
    • Handle: RePEc:sae:ilrrev:v:72:y:2019:i:1:p:223-252
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    Cited by:

    1. Becker, Sascha O. & Fernandes, Ana & Weichselbaumer, Doris, 2019. "Discrimination in hiring based on potential and realized fertility: Evidence from a large-scale field experiment," Labour Economics, Elsevier, vol. 59(C), pages 139-152.
    2. Berson, Clémence & Laouénan, Morgane & Valat, Emmanuel, 2020. "Outsourcing recruitment as a solution to prevent discrimination: A correspondence study," Labour Economics, Elsevier, vol. 64(C).
    3. Horváth Gergely, 2020. "The Impact of Marital Status on Job Finding: A Field Experiment in the Chinese Labor Market," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 20(4), pages 1-10, October.
    4. Alec Brandon & Justin E. Holz & Andrew Simon & Haruka Uchida, 2023. "Minimum Wages and Racial Discrimination in Hiring: Evidence from a Field Experiment," Upjohn Working Papers 23-389, W.E. Upjohn Institute for Employment Research.
    5. Nüß, Patrick, 2025. "Management opposition, strikes and union threat," IWH Discussion Papers 17/2025, Halle Institute for Economic Research (IWH).
    6. Acolin, Arthur & Bostic, Raphael & Painter, Gary, 2016. "A field study of rental market discrimination across origins in France," Journal of Urban Economics, Elsevier, vol. 95(C), pages 49-63.
    7. Ian Gregory-Smith & Alex Bryson & Rafael Gomez, 2023. "Discrimination in a Rank Order Contest: Evidence from the NFL Draft," Journal of Economics, Race, and Policy, Springer, vol. 6(3), pages 215-231, September.
    8. Gaddis, S. Michael, 2018. "An Introduction to Audit Studies in the Social Sciences," SocArXiv e5hfc, Center for Open Science.
    9. Abbate, Nicolás & Berniell, Inés & Coleff, Joaquín & Laguinge, Luis & Machelett, Margarita & Marchionni, Mariana & Pedrazzi, Julián & Pinto, María Florencia, 2024. "Discrimination against gay and transgender people in Latin America: A correspondence study in the rental housing market," Labour Economics, Elsevier, vol. 87(C).
    10. Christopher Jepsen & Lisa Jepsen, 2025. "U.S. Housing Outcomes by Race, Ethnicity, and Sexual Orientation, 2005–2021," Review of Economics of the Household, Springer, vol. 23(1), pages 245-276, March.
    11. Ewens, Michael, 2022. "Race and Gender in Entrepreneurial Finance," SocArXiv djf8z, Center for Open Science.
    12. James D. Paul & Albert A. Cheng & Jay P. Greene & Josh B. McGee, 2023. "The Value of College Athletics in the Labor Market: Results from a Resume Audit Field Experiment," Journal of Sports Economics, , vol. 24(3), pages 329-351, April.
    13. David Neumark, 2020. "Age Discrimination in Hiring: Evidence from Age-Blind vs. Non-Age-Blind Hiring Procedures," NBER Working Papers 26623, National Bureau of Economic Research, Inc.
    14. Taryn Eames, 2024. "Taryn versus Taryn (she/her) versus Taryn (they/them): A Field Experiment on Pronoun Disclosure and Hiring Discrimination," Working Papers tecipa-766, University of Toronto, Department of Economics.
    15. Drydakis, Nick & Zimmermann, Klaus F., 2020. "Sexual Orientation, Gender Identity and Labour Market Outcomes: New Patterns and Insights," GLO Discussion Paper Series 627, Global Labor Organization (GLO).
    16. Gouveia, Filipe & Nilsson, Therese & Berggren, Niclas, 2020. "Religiosity and discrimination against same-sex couples: The case of Portugal's rental market," Journal of Housing Economics, Elsevier, vol. 50(C).
    17. Marina Mileo Gorzig & Deborah Rho, 2022. "The effect of the 2016 United States presidential election on employment discrimination," Journal of Population Economics, Springer;European Society for Population Economics, vol. 35(1), pages 45-88, January.
    18. Kübler, Dorothea & Schmid, Julia & Stüber, Robert, 2018. "Gender discrimination in hiring across occupations: a nationally-representative vignette study," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 55, pages 215-229.
    19. William A. Darity Jr. & Darrick Hamilton & Samuel L. Myers Jr. & Gregory N. Price & Man Xu, 2022. "Racial Differences in Time at Work Not Working," ILR Review, Cornell University, ILR School, vol. 75(3), pages 552-572, May.

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    JEL classification:

    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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