Antidiscrimination policy with culturally biased testing

Adrian Masters

No 333, 2004 Meeting Papers from Society for Economic Dynamics

Abstract: This paper explores the implications of culturally biased testing for the employment decisions of firms. Only the workers know whether they can do the job or not so firms test them. Wages are made contingent on the test results which are public information. The threshold result for hiring corresponds to the minimum wage acceptable to qualified workers. Assuming the test is less able to discern the ability of minority workers, the paper looks at the implications for antidiscrimination employment and wage policies

Keywords: Discrimination; labor market (search for similar items in EconPapers)
JEL-codes: J15 J41 (search for similar items in EconPapers)
Date: 2004
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:red:sed004:333

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