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Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market

Author Info

Listed author(s):
  • Pierre-Philippe Combes
  • Bruno Decreuse
  • Morgane Laouénan
  • Alain Trannoy

Abstract

The paper investigates the link between the overexposure of African immigrants to unemployment in France and their underrepresentation in jobs in contact with customers. We build a two-sector matching model with ethnic sector-specific preferences, economy-wide employer discrimination, and customer discrimination in jobs in contact with customers. The outcomes of the model allow us to build a test of ethnic discrimination in general and customer discrimination in particular. We run the test on French individual data in a cross section of local labor markets (employment areas). Our results show both ethnic and customer discrimination in the French labor market.

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File URL: http://dx.doi.org/10.1086/682332
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File URL: http://dx.doi.org/10.1086/682332
Download Restriction: Access to the online full text or PDF requires a subscription.

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Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 34 (2016)
Issue (Month): 1 ()
Pages: 107-160

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Handle: RePEc:ucp:jlabec:doi:10.1086/682332
Contact details of provider: Web page: http://www.journals.uchicago.edu/JOLE/

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Find related papers by JEL classification:
  • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
  • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
  • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

References listed on IDEAS
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Cited by:

  1. Pierre-Philippe Combes & Bruno Decreuse & Benoît, Department Of Economics) Schmutz & Alain Trannoy, 2015. "Neighbor Discrimination: Theory and evidence from the French rental market," Sciences Po publications 9160, Sciences Po.
  2. Laouénan, Morgane, 2014. "'Can't Get Enough': Prejudice, Contact Jobs and the Racial Wage Gap in the US," IZA Discussion Papers 8006, Institute for the Study of Labor (IZA).
  3. Gobillon, Laurent & Rupert, Peter & Wasmer, Etienne, 2014. "Ethnic unemployment rates and frictional markets," Journal of Urban Economics, Elsevier, vol. 79(C), pages 108-120.
  4. Morgane Laouénan, 2013. "Un cas particulier de discrimination sur le marché du travail : l'accès aux emplois en contact avec le public," Économie et Statistique, Programme National Persée, vol. 464(1), pages 35-58.
  5. Romain Aeberhardt & Élise Coudin & Roland Rathelot, 2017. "The heterogeneity of ethnic employment gaps," Journal of Population Economics, Springer;European Society for Population Economics, vol. 30(1), pages 307-337, January.
  6. Morgane Laouénan, 2013. ""Hate at First Sight": Evidence of Consumer Discrimination Against African-Americans in the US," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2013032, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  7. Laurent Gobillon & Matthieu Solignac, 2014. "Homeownership of immigrants in France," ERSA conference papers ersa14p558, European Regional Science Association.
  8. Francisco Galarza & Gustavo Yamada & Carlos Zelada, 2015. "Cuesta arriba para los afroperuanos: Evidencia de la discriminación en el acceso al mercado laboral de Lima Metropolitana," Working Papers 15-01, Departamento de Economía, Universidad del Pacífico, revised 2015.
  9. Nunley John M. & Pugh Adam & Romero Nicholas & Seals R. Alan, 2015. "Racial Discrimination in the Labor Market for Recent College Graduates: Evidence from a Field Experiment," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 15(3), pages 1093-1125, July.

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