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Article Dans Une Revue European Economic Review Année : 2024

Can affirmative action policies be inefficiently persistent?

Résumé

We develop a dynamic model where successive, decentralized policy makers must decide whether to implement affirmative action policies aimed at improving the performance of future generations of a targeted group. Employers do not perfectly observe if a worker benefited from affirmative action, but take that possibility into account, resulting in the devaluation of the worker’s credentials and an associated feeling of injustice. We establish that, in equilibrium, affirmative action is implemented perpetually by benevolent policy makers, despite the feeling of injustice that eventually dominates the anticipated benefits. This contrasts with the first best, which requires affirmative action to be temporary.
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halshs-04630457 , version 1 (01-07-2024)

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Philippe Jehiel, Mathieu V Leduc. Can affirmative action policies be inefficiently persistent?. European Economic Review, 2024, 166, ⟨10.1016/j.euroecorev.2024.104754⟩. ⟨halshs-04630457⟩
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