Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market

Pierre-Philippe Combes, Bruno Decreuse, Morgane Laouenan and Alain Trannoy

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Abstract: The paper investigates the link between the over-exposure of African immigrants to unemployment in France and their under-representation in jobs in contact with customers. We build a two-sector matching model with ethnic sector-specific preferences, economy-wide employer discrimination, and customer discrimination in jobs in contact with customers. The outcomes of the model allow us to build a test of ethnic discrimination in general and customer discrimination in particular. We run the test on French individual data in a cross-section of Employment Areas. Our results show that there is customer discrimination in the French labor market for contact jobs; a decrease in discrimination intensity by one standard deviation would reduce the raw unemployment rate of African immigrants by 4.3 percentage points.

Keywords: Customer Discrimination; Matching frictions; Jobs in contact; Ethnic Unemployment (search for similar items in EconPapers)
Date: 2011-09-17
New Economics Papers: this item is included in nep-lab
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00624435
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Citations: View citations in EconPapers (6)

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Related works:
Journal Article: Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market (2016)
Working Paper: Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market (2016)
Working Paper: Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market (2016)
Working Paper: Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market (2016)
Working Paper: Customer discrimination and employment outcomes: Theory and evidence from the French labor market (2014)
Working Paper: Customer discrimination and employment outcomes: Theory and evidence from the French labor market (2014)
Working Paper: Customer Discrimination and Employment Outcomes: Theory and Evidence from the French Labor Market (2014)
Working Paper: Customer Discrimination and Employment OUtcomes: Theory and Evidence from the French Labor Market (2013)
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