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Author:Frijters, P.
Title:Discrimination and job-uncertainty
Journal:Journal of Economic Behavior and Organization
1998 : SEP, VOL. 36:4, p. 433-446
Index terms:UNEMPLOYMENT
UNCERTAINTY
LABOUR
MARKETS
GAMES
MODELS
Language:eng
Abstract:In the paper, group behaviour is incorporated into a model of the labour market. It is shown that discrimination can be the result of competition btw. coalitions of workers and bosses for jobs. If the probability of correctly assessing the productivity of individual workers decreases, coalition-formation on the basis of recognisable characteristics becomes relatively more rewarding than coalition forming on the basis of productivity. In the paper, the conditions are, thus, identified under which each individual in the endogenously defined group actively discriminates persons with different recognisable characteristics, independent of productivity.
SCIMA record nr: 180484
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