Economic Analysis of Social Issues 1st Edition by Alan Grant

Exercise 25

[Related to Application 15.2 on page 315] Read Application 15.2 and the discussion of Bertrand and Mullainathan's audit study in section 15.4 carefully. Suppose two black men, D'Andre and Neil, send resumes to a company in response to a help-wanted ad. If the employer dislikes black men and takes every opportunity to discriminate against them, what is likely to happen at the resume screening phase? What is likely to happen in the interview phase? How do your answers help reconcile the results of Bertrand and Mullainathan and those of Fryer and Levitt?