This paper offers a new theory of discrimination in the workplace. We consider a manager who has to assign two tasks to … employees expect to be favored. The manager, who has no taste for discrimination, discriminates in order to avoid demotivating …

explanation for this pattern, namely preference- and belief-free discrimination. In our setting, an employer can increase effort … discrimination between workers optimal. …

We consider a model of endogenous human capital formation with competitively determined wages, where discrimination …

discrimination in productive activities requiring the input of multiple agents. We show that discrimination can persist under … perfectly observable ability, when taste for discrimination has died out, and under absence of discriminatory social norms … the theoretical predictions, beliefs about discrimination are a significant correlate of self-employment rates, as well as …

Why does discrimination persist when there is evidence that discriminatory bias can be overcome? I answer this question … with a novel application of contest theory and provide experimental evidence. I show that a favored candidate's threat of … than the unfavored candidate unless the unfavored candidate cares sufficiently more about the future. Discrimination …