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STICERD Economic Theory Seminars

Statistical discrimination and the distribution of wages

Rahul Deb (University of Toronto), joint with Prashant Bharadwaj and Ludovic Renou

Thursday 13 June 2024 15:30 - 17:00

Many of our seminars and public events this year will continue as in person or as hybrid (online and in person) events. Please check our website listings and Twitter feed @STICERD_LSE for updates.

Unless otherwise specified, in-person seminars are open to the public.

Those unable to join the seminars in-person are welcome to participate via zoom if the event is hybrid.


About this event

We characterize the conditions under which the wage distributions for two groups are consistent with a general model of statistical discrimination. We adapt this theoretical characterization to develop a novel empirical test, the rejection of which we interpret as evidence of taste-based discrimination. In doing so, we provide a theoretical foundation via which the wage structure effect in the decomposition of wage distributions can be interpreted as evidence of taste-based discrimination. We provide a proof of concept application using Census and NLSY-79 data, which suggests taste-based discrimination at work against Black male workers in several broad occupation categories.

Economic Theory Seminars are held on Thursdays in term time at 15:30-17:00, both ONLINE and IN PERSON in SAL 3.05.

Seminar organisers: Dr Andrew Ellis and Dr Christopher Sandmann.

For further information please contact Sadia Ali: s.ali43@lse.ac.uk.

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