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Does Competition Induce Hiring Equity ?

Author

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  • Clémence Berson

    () (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics, CEE - Centre d'études de l'emploi - M.E.N.E.S.R. - Ministère de l'Éducation nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé)

Abstract

This paper tests the impact of competition on the hiring process in the French retail sector. Following the Becker's theory, higher the competition, lower is discrimination. Using local Herfindhal-Hirschman indexes, a correspondence study ensures to observe how competition affects discrimination. A strong employment gap is observable between French natives and second generation immigrants. Concerning gender, women are favored as cashiers. The impact of competition depends on the target population : competition reinforces preference for women, whereas discrimination due to origin is follows the Becker's theory. However, increasing competition to fight against discrimination is not a solution, as it will enhance bad condition of women in the labor market and an increase of awareness of human resources department to equality of treatment is more efficient.

Suggested Citation

  • Clémence Berson, 2012. "Does Competition Induce Hiring Equity ?," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00718627, HAL.
  • Handle: RePEc:hal:cesptp:halshs-00718627
    Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-00718627
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    References listed on IDEAS

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    1. Judith K. Hellerstein & David Neumark & Kenneth R. Troske, 2002. "Market Forces and Sex Discrimination," Journal of Human Resources, University of Wisconsin Press, vol. 37(2), pages 353-380.
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    3. Emmanuel Duguet & Noam Leandri & Yannick L'horty & Pascale Petit, 2010. "Are Young French Jobseekers of Ethnic Immigrant Origin Discriminated Against? A Controlled Experiment in the Paris Area," Annals of Economics and Statistics, GENES, issue 99-100, pages 187-215.
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    5. 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.
    6. Heywood, John S & Peoples, James H, Jr, 1994. "Deregulation and the Prevalence of Black Truck Drivers," Journal of Law and Economics, University of Chicago Press, vol. 37(1), pages 133-155, April.
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    8. repec:adr:anecst:y:2010:i:99-100:p:09 is not listed on IDEAS
    9. Phelps, Edmund S, 1972. "The Statistical Theory of Racism and Sexism," American Economic Review, American Economic Association, vol. 62(4), pages 659-661, September.
    10. Orley Ashenfelter & Timothy Hannan, 1986. "Sex Discrimination and Product Market Competition: The Case of the Banking Industry," The Quarterly Journal of Economics, Oxford University Press, vol. 101(1), pages 149-173.
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    Cited by:

    1. Anthony Edo & Nicolas Jacquemet, 2013. "Discrimination à l'embauche selon l'origine et le genre : défiance indifférenciée ou ciblée sur certains groupes ?," Économie et Statistique, Programme National Persée, vol. 464(1), pages 155-172.
    2. Stijn Baert & Bart Cockx & Niels Gheyle & Cora Vandamme, 2013. "Do Employers Discriminate Less if Vacancies are Difficult to Fill? Evidence from a Field Experiment," CESifo Working Paper Series 4093, CESifo Group Munich.
    3. Manant, Matthieu & Pajak, Serge & Soulié, Nicolas, 2014. "Do recruiters 'like' it? Online social networks and privacy in hiring: a pseudo-randomized experiment," MPRA Paper 56845, University Library of Munich, Germany.
    4. Baert, Stijn, 2017. "Hiring Discrimination: An Overview of (Almost) All Correspondence Experiments Since 2005," IZA Discussion Papers 10738, Institute for the Study of Labor (IZA).
    5. Baert, Stijn & Norga, Jennifer & Thuy, Yannick & Van Hecke, Marieke, 2016. "Getting grey hairs in the labour market. An alternative experiment on age discrimination," Journal of Economic Psychology, Elsevier, vol. 57(C), pages 86-101.

    More about this item

    Keywords

    Discrimination; hiring; competition; embauche; concurrence;

    JEL classification:

    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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