Labour Market Performance Effects of Discrimination and Loss of Skill

Birthe Larsen, Gisela Waisman

Publikation: Working paperForskning

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Abstrakt

We examine the impact of discrimination on labour market performance when workers are subject to a risk of losing skills during the experience of unemployment. Within a search and matching model, we show that all natives and immigrants are affected by discrimination. Discrimination in one sector has positive spillovers, inducing employment increases in the other sector. Discrimination may induce immigrants to train more or less than natives, depending on the sector where it is present. Welfare tends to be most negatively affected by discrimination among highproductivity workers.
OriginalsprogEngelsk
Udgivelses stedFrederiksberg
UdgiverCopenhagen Business School, CBS
Antal sider35
StatusUdgivet - 2012
NavnWorking Paper / Department of Economics. Copenhagen Business School
Nummer5-2012

Emneord

  • Discrimination
  • Unemployment
  • Search and Matching
  • Wages

Citationsformater

Larsen, B., & Waisman, G. (2012). Labour Market Performance Effects of Discrimination and Loss of Skill. Copenhagen Business School, CBS. Working Paper / Department of Economics. Copenhagen Business School, Nr. 5-2012