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Project Citation: 

Hedegaard, Morten Størling, and Tyran, Jean-Robert. Replication data for: The Price of Prejudice. Nashville, TN: American Economic Association [publisher], 2018. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113648V1

Project Description

Summary:  View help for Summary We present a new type of field experiment to investigate ethnic prejudice in the workplace. Our design allows us to study how potential discriminators respond to changes in the cost of discrimination. We find that ethnic discrimination is common but highly responsive to the "price of prejudice," i.e., to the opportunity cost of choosing a less productive worker on ethnic grounds. Discriminators are on average willing to forego 8 percent of their earnings to avoid a coworker of the other ethnic type. The evidence suggests that animus rather than statistical discrimination explains observed behavior.

Scope of Project

JEL Classification:  View help for JEL Classification
      C93 Field Experiments
      J15 Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
      J24 Human Capital; Skills; Occupational Choice; Labor Productivity
      J31 Wage Level and Structure; Wage Differentials
      J71 Labor Discrimination


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