Among the two most important methods economists use to identify illegal discrimination are

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Economists use both "regression" techniques and "audit" methods to identify illegal discrimination. Regression techniques involve analyzing data to determine whether there is a correlation between a particular characteristic (such as race or gender) and outcomes (such as wages or hiring rates). Audit methods involve sending out identical resumes or job applications with different characteristics (such as different names that imply different races or genders) to see if there is a differential response rate. Both of these methods help economists to identify whether there are patterns of discrimination present in a particular market or industry.

Among the Two Most Important Methods Economists Use to Identify