Events at CERGE-EI
Monday, 4 December, 2023 | 14:00 | Room 402 | Applied Micro Research Seminar
Paolo Falco (University of Copenhagen) "Consumer Preferences for Migrant and Native Workers: Evidence from a Large-Scale Experiment"
University of Copenhagen, Denmark
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Authors: Paolo Falco, Mauro Caselli
Abstract: We conduct an experiment with 56,000 Danish households (over 2 percent of the population), who receive an advertisement from a Danish company offering basic cleaning services. We vary the price and the available operators, who differ in their ethnicity but meet identical quality standards. We find that, on average, demand for a migrant operator is 45 percent lower than demand for a native, but the gap is sensitive to price. It grows larger as the price increases since the demand for a migrant falls more steeply than the demand for a native. This is consistent with consumers having a lower willingness to pay for migrant workers than equivalent native workers. The results shed light on an important source of labor-market discrimination.
JEL Classification: C93, J23, J61, J71
Keywords: migrants, discrimination, experiment, consumer preferences, labormarket integration
Full Text: Consumer Preferences for Migrant and Native Workers: Evidence from a Large-Scale Experiment
