How statistical discrimination affect labor market


Q1. Why were List's experiments with sports card markets consistent with statistical discrimination on behalf of dealers, rather than racial prejudice?

Q2. How does statistical discrimination differentially affect the labor market outcomes of low-skill and high-skill black workers when it is more difficult for employers to interpret signals from black job candidates?

Q3. Why does the empirical finding that the black-white wage gap grows with experience conditional on AFQT and education not necessarily refute that statistical discrimination occurs in the labor market?

Q4. Why would statistical discrimination change the relative incentives of investing in observable versus unobservable human capital?

Q5. Why would a test gap that did not emerge until third grade not necessarily rule out early childhood environment differences as the source of the racial test gap?

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