A Social Network Analysis of Occupational Segregation

Sebastian Buhai () and Marco Juri van der Leij ()

No 06-11, Working Papers from University of Aarhus, Aarhus School of Business, Department of Economics

Abstract: We develop a social network model of occupational segregation between

different social groups, generated by the existence of positive inbreeding

bias among individuals from the same group. If network referrals

are important in getting a job, then expected inbreeding bias in the

contact network structure induces different career choices for individuals

from different social groups. This further translates into stable occupational

segregation equilibria in the labour market. We derive the conditions

for persistent wage and unemployment inequality in the segregation

equilibria. Our framework is proposed as complementary to existing theories

used to explain labour market inequalities between groups divided

by race, ethnicity or gender

Keywords: Social Networks; Inbreeding Bias; Occupational Segregation; Labour Market Inequality (search for similar items in EconPapers)
JEL-codes: A14 J31 Z13 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-lab and nep-soc
Date: 2006-11-07
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Downloads: (external link)
http://www.hha.dk/nat/wper/06-11_sebu.pdf (application/pdf)

Related works:
Working Paper: A Social Network Analysis of Occupational Segregation (2006)
Working Paper: A Social Network Analysis of Occupational Segregation (2008)
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