Ethnic discrimination: Evidence from China

We study the role of ethnicity in experimental labor markets where “employers” determine wages of “workers” who perform a real effort task. This task requires a true skill which we show is not affected by minority status. In some treatments, we provide subtle priming to employers about minority stat...

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Published in:European economic review Vol. 90; pp. 165 - 177
Main Authors: Mobius, Markus, Rosenblat, Tanya, Wang, Qiqi
Format: Journal Article
Language:English
Published: Elsevier B.V 01-11-2016
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Abstract We study the role of ethnicity in experimental labor markets where “employers” determine wages of “workers” who perform a real effort task. This task requires a true skill which we show is not affected by minority status. In some treatments, we provide subtle priming to employers about minority status of workers as commonly depicted on Chinese “Hukou” identification system. We conduct our experiments at two sites located in provinces that differ by their historical shares of ethnic groups in the population. We find that: (1) Han and minority workers are equally productive in both provinces; (2) in the diverse province, there is no difference in the wages between Han and minority workers; (3) in the non-diverse province, minority workers receive 4–7% lower wages than Han workers.
AbstractList We study the role of ethnicity in experimental labor markets where “employers” determine wages of “workers” who perform a real effort task. This task requires a true skill which we show is not affected by minority status. In some treatments, we provide subtle priming to employers about minority status of workers as commonly depicted on Chinese “Hukou” identification system. We conduct our experiments at two sites located in provinces that differ by their historical shares of ethnic groups in the population. We find that: (1) Han and minority workers are equally productive in both provinces; (2) in the diverse province, there is no difference in the wages between Han and minority workers; (3) in the non-diverse province, minority workers receive 4–7% lower wages than Han workers.
Author Rosenblat, Tanya
Mobius, Markus
Wang, Qiqi
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  givenname: Qiqi
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  email: gochichiwang@gmail.com
  organization: Research Center for Games and Economic Behavior, Shandong University, Jinan, Shandong 250100, China
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Keywords Experimental labor market
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Ethnic discrimination
Minority stereotype
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Snippet We study the role of ethnicity in experimental labor markets where “employers” determine wages of “workers” who perform a real effort task. This task requires...
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SubjectTerms Ethnic discrimination
Experimental labor market
Minority stereotype
Title Ethnic discrimination: Evidence from China
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