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Discrimination and diversity: Market and non-market settings

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Abstract

This paper analyzes discrimination in light of two possibilities (1) that variety has a positive marginal value and (2) that it is less costly to deal with more homogeneous inputs. In market settings it explains the anomaly that firms practicing discrimination in hiring may survive in a competitive environment. In non-market settings it explains the minority separatism practiced under the name of “multiculturalism” on college campuses. Curriculum reforms in the direction of more ethnic, racial and religious “exclusivity” may be understood as attempts to change the constraints within which individuals of diverse cultural backgrounds, brought together into intimate contact, may maximize their utilities.

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Authors and Affiliations

  1. Department of Economics, Trinity University, 78212, San Antonio, TX

    William Breit

  2. Department of Economics, Ball State University, 47306, Muncie, IN

    John B. Horowitz

Authors
  1. William Breit
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  2. John B. Horowitz
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Breit, W., Horowitz, J.B. Discrimination and diversity: Market and non-market settings. Public Choice 84, 63–75 (1995). https://doi.org/10.1007/BF01047801

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  • DOI: https://doi.org/10.1007/BF01047801

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