The Economics of Discrimination
This second edition of Gary S. Becker's The Economics of Discrimination has been expanded to include three further discussions of the problem and an entirely new introduction which considers the contributions made by others in recent years and some of the more important problems remaining.
Mr. Becker's work confronts the economic effects of discrimination in the market place because of race, religion, sex, color, social class, personality, or other non-pecuniary considerations. He demonstrates that discrimination in the market place by any group reduces their own real incomes as well as those of the minority.
The original edition of The Economics of Discrimination was warmly received by economists, sociologists, and psychologists alike for focusing the discerning eye of economic analysis upon a vital social problem—discrimination in the market place.
"This is an unusual book; not only is it filled with ingenious theorizing but the implications of the theory are boldly confronted with facts. . . . The intimate relation of the theory and observation has resulted in a book of great vitality on a subject whose interest and importance are obvious."—M.W. Reder, American Economic Review
"The author's solution to the problem of measuring the motive behind actual discrimination is something of a tour de force. . . . Sociologists in the field of race relations will wish to read this book."—Karl Schuessler, American Sociological Review
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3 EMPLOYER DISCRIMINATION
4 EMPLOYEE DISCRIMINATION
5 CONSUMER AND GOVERNMENT DISCRIMINATION
6 MARKET DISCRIMINATION
7 DISCRIMINATION AGAINST NONWHITES I
age-education amount of discrimination analysis assumed average capital cause market caused Census of Population cent chap chapter column consumer discrimination costs craft unions crimination decrease demand curve differentials discrimination against Negroes discrimination against non-whites discrimination coefficient discussion distribution economic effective discrimination employer employment equal equilibrium MDC estimate factor firms Gordon Allport Government Printing Office greater implies important increase indexes Jews less marginal market discrimination market segregation measure monopolistic industries monopoly monopsony Negroes and whites Negroes Divided nepotism net income nomic non-pecuniary non-white males North number of applicants number of Negroes number of non-whites occupational position perfect substitutes position of Negroes prejudice production function quantity ratio regional difference relative demand relative income relative number relative supply relative wage restrictive covenants retailing Sample Statistics semiskilled South statistics sumer Table tastes for discrimination theory tion trade unions U.S. Bureau value added variables wage rate whites and non-whites workers
Page 14 - taste for discrimination,' he must act as //he were willing to pay something either directly or in the form of a reduced income, to be associated with some persons instead of others. When actual discrimination occurs, he must, in fact, either pay or forfeit income for this privilege. This simple way of looking at the matter gets at the essence of prejudice and discrimination...
Page 13 - For example, discrimination and prejudice are not usually said to occur when someone prefers looking at a glamorous Hollywood actress rather than at some other woman; yet they are said to occur when he prefers living next to whites rather than next to Negroes. At best calling just one of these actions "discrimination" requires making subtle and rather secondary distinctions.
Page 13 - Ethnic prejudice is an antipathy based upon a faulty and inflexible generalization. It may be felt or expressed. It may be directed toward a group as a whole, or toward an individual because he is a member of that group.
Page 21 - Saenger, a psychologist, said: "Discriminatory practices appear to be of definite advantage for the representatives of management in a competitive economic system" (The Social Psychology of Prejudice [New York: Harper & Bros., 1953], p. 96). Allport, another psychologist, likewise said: "We conclude, therefore, that the Marxist theory of prejudice is far too simple, even though it points a sure finger at one of the factors involved in prejudice, viz., rationalized selfinterest of the upper classes"...
Page 21 - A' are reduced by discrimination, all factors are not affected in the same way: the return to W capital and N labor decreases, but the return to W labor and N capital actually increases. There is a remarkable agreement in the literature on the proposition that capitalists from the dominant group are the major beneficiaries of prejudice and discrimination in a competitive capitalistic economic system.4 If W is considered to represent whites or some other dominant group, the fallacious nature of this...