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Title: Employers' Discriminatory Behavior and the Estimation of Wage Discrimination
Resulting in 1 citation.
1. Neumark, David B.
Employers' Discriminatory Behavior and the Estimation of Wage Discrimination
Journal of Human Resources 23,3 (Summer 1988): 279-295.
Also: http://www.jstor.org/stable/145830
Cohort(s): Young Men, Young Women
Publisher: University of Wisconsin Press
Keyword(s): Discrimination; Discrimination, Employer; Wages

This paper considers the linkage of empirical estimates of wage discrimination between two groups, introduced by Oaxaca (1973), to a theoretical model of employers' discriminatory behavior. It is shown that, conditional on different assumptions about employers' discriminatory tastes, Oaxaca's estimators of wage discrimination can be derived. That the approach is more generally useful is demonstrated by deriving an alternative estimator of wage discrimination, based on the assumption that within each type of labor (e.g., unskilled, skilled) the utility function capturing employers' discriminatory tastes is homogeneous of degree zero with respect to labor inputs from each of the two groups. The estimators are compared empirically in an application to male-female wage differentials.
Bibliography Citation
Neumark, David B. "Employers' Discriminatory Behavior and the Estimation of Wage Discrimination." Journal of Human Resources 23,3 (Summer 1988): 279-295.