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Author: Hurst, Erik
Resulting in 1 citation.
1. Hurst, Erik
Rubinstein, Yona
Shimizu, Kazuatsu
Task Based Discrimination
Working Paper No. 2021-40, Becker Friedman Institute for Economics, University of Chicago, June 28, 2021.
Also: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3875550
Cohort(s): NLSY79, NLSY97
Publisher: University of Chicago
Keyword(s): Discrimination, Job; Discrimination, Racial/Ethnic; Job Skills; Racial Differences; Skills; Wage Gap

Permission to reprint the abstract has not been received from the publisher.

Why did the Black-White wage gap converge from 1960 to 1980 and why has it stagnated since? To answer this question, we introduce a unified model that integrates notions of both taste-based and statistical discrimination into a task-based model of occupational sorting. At the heart of our framework is the idea that discrimination varies by the task requirement of each job. We use this framework to identify and quantify the role of trends in race-specific factors and changing task prices in explaining the evolution of the Black-White wage gap since 1960. In doing so, we highlight a new task measure--Contact tasks--which measures the extent to which individuals interact with others as part of their job. We provide evidence that changes in the racial gap in Contact tasks serves as a good proxy for changes in taste-based discrimination over time. We find that taste-based discrimination has fallen and racial skill gaps have narrowed over the last sixty years in the United States. However, since the 1980s, the effect of declining racial skill gaps and discrimination on the Black-White wage gap were offset by the increasing returns to Abstract tasks which, on average, favored White workers relative to Black workers.
Bibliography Citation
Hurst, Erik, Yona Rubinstein and Kazuatsu Shimizu. "Task Based Discrimination." Working Paper No. 2021-40, Becker Friedman Institute for Economics, University of Chicago, June 28, 2021.