Apparent wage discrimination when wages are determined by nondiscriminatory contracts

Article Abstract:

It is shown that a traditional earnings function can result in crucial misleading conclusions when an explicit contract governs compensation. The estimation of earnings functions for teachers in two public school districts using standard methods and survey data shows that black and female teachers appear to get lower salaries than equivalent white male teachers although race and gender are not supposed to affect their contractual salary. However, an analysis shows that the results are due to an specification error and not the consequence of discrimination.

Interpretation and construction, Labor contracts, Pay equity

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Wage disparities and affirmative action in the 1980's

Article Abstract:

Estimates of wage equations in 41 industries and 113 cities are examined for possible discrimination in wages using a method that estimates wage equations using factors of productivity as variables. The study used data taken from Census of Population 5-percent Public Use Micro Samples. Results show that an industry's discrimination against one group were also applied to other groups. Moreover, wage inequalities between blacks and women and between Hispanics and Asians are positively correlated.

Economic aspects, Affirmative action, Wages, Wages and salaries, Income distribution

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Analyzing employment discrimination: from the seminar room to the courtroom

Article Abstract:

Employment discrimination cases can become troubled by expert analyses of economists which often cause confusion instead of clarity. Analyses of issues such as hiring ratios can be marred by discrepancies between the results of rival economists, and decisions need to be made as to what parts of those analyses are significant empirically. This would make judgement easier for such cases.

Employee selection

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