Citation
Darity, William A., Jr. (2004). Racial and Ethnic Economic Inequality: A Cross-National Perspective.. Henry, C. Michael (Ed.) (pp. 83-95). New Haven, Conn.: Yale University Press.Abstract
Orthodox economic theory denies the persistence of employment discrimination in markets. Neoclassical microeconomics really cannot be massaged to produce a convincing story of why members of productively equivalent but ascriptively different groups experience widely disparate economic outcomes. Even the best story modern marginalists have to offer, the statistical discrimination hypothesis, does not wash well.If members of two groups—call them group A and group B—share the same frequency distributions of ability to perform a job, employers should learn this is the case over time. Conventional theory would then lead us to conclude that employers should become indifferent between...