Abstract:
Economic outcomes vary significantly across socio-demographic groups. In a model
of multi-dimensional identity, we show how economic underrepresentation can evolve
through identity-specific norms. Whereas standard approaches treat identity dimensions as independent, our analysis reveals deep connections between inequality and underrepresentation based on race, gender and other characteristics. `Sterilized interventions' along a single identity dimension are impossible. Interventions that aim to reduce underrepresentation along one identity dimension can increase underrepresentation along another. We show how underrepresentation can be eliminated along every dimension, through a system of (a) self-financing subsidies or (b) role models, where interventions are connected across identity dimensions.

For information on how to watch this lecture and sign up for the SBEE mailing list to receive notice of upcoming events, please visit the SBEE website:
https://umbee.github.io/SBEE_Seminars