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Antidiscrimination Law

In: Handbook of Law and Economics

Author

Listed:
  • Donohue, John J.

Abstract

This essay provides an overview of the central theoretical law and economics insights and empirical findings concerning antidiscrimination law across a variety of contexts including discrimination in labor markets, housing markets, consumer purchases, and policing. The different models of discrimination based on animus, statistical discrimination, and cartel exploitation are analyzed for both race and sex discrimination. I explore the theoretical arguments for prohibiting private discriminatory conduct in light of the tensions that exist between concerns for liberty and equality. I also discuss the complexities in empirically establishing the existence of discrimination and highlight the critical point that one cannot automatically attribute observed disparities in various economic or social outcomes to discrimination. The major empirical findings showing the effectiveness of federal law in the first decade after passage of the 1964 Civil Rights Act are contrasted with the generally less optimistic findings from more recent antidiscrimination interventions.

Suggested Citation

  • Donohue, John J., 2007. "Antidiscrimination Law," Handbook of Law and Economics, in: A. Mitchell Polinsky & Steven Shavell (ed.), Handbook of Law and Economics, edition 1, volume 2, chapter 18, pages 1387-1472, Elsevier.
    • Handle: RePEc:eee:lawchp:2-18
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    Cited by:

    1. de la Rica, Sara & Dolado, Juan J. & García-Peñalosa, Cecilia, 2008. "On Gender Gaps and Self-fulfilling Expectations: Theory, Policies and Some Empirical Evidence," IZA Discussion Papers 3553, Institute of Labor Economics (IZA).
    2. Rao, Neel, 2016. "Social effects in employer learning: An analysis of siblings," Labour Economics, Elsevier, vol. 38(C), pages 24-36.
    3. John J. Donohue III, 2005. "The Law and Economics of Antidiscrimination Law," NBER Working Papers 11631, National Bureau of Economic Research, Inc.

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