Matching, efficiency, and inequality

Course Details
Instructor: 
Days: 
TR
Time: 
10:30 AM - 11:50 AM
Course Information
Quarter: 
Spring 2017
Course Number: 
33901
Section: 
01
Course Description:

Individuals choice of an employer or employee, a spouse or a neighborhood to live in can be described in terms of matching. Individuals aim at choosing the best possible match given their preferences and the costs they face. This course will analyze the social and economic consequences of individuals matching behavior, with an emphasis on inequality, discrimination and segregation. In the marriage market, assortative mating tends to perpetuate human capital inequalities across generations. In the labor market, firms may prefer to hire white males rather than women or minorities. We will explore to what extent this can be explained by pure discrimination and whether affirmative action can lead to better outcomes. Finally, we will examine how residential segregation arises and to what extent desegregation as a public policy can improve the outcomes of disadvantaged groups.