Arbeitspapier

Underrepresentation, Quotas and Quality: A Dynamic Argument for Reform

The trade-off between increased representation and perceived quality is central to the debate on how to address underrepresentation in high-profile professions. We address this trade-off using a dynamic model of career selection where juniors value both the identity and perceived quality of their mentors (seniors). A preference for homophily results in the persistence of underrepresentation, suggesting intervention is needed. However, if an abrupt quota causes a large decrease in the perceived quality of underrepresented seniors, then underrepresented juniors of high talent will select out of the profession, causing a permanent (real) quality difference. Encouragingly, we show that gradual reform—while decreasing perceived quality in the short term—enables a transition to equal representation and equal quality in the long term. We discuss the implications of our analysis for commonly-used measures to increase representation.

Sprache
Englisch

Erschienen in
Series: CESifo Working Paper ; No. 10437

Klassifikation
Wirtschaft
Externalities
Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
Education and Research Institutions: General
Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
Economics of Gender; Non-labor Discrimination
Human Capital; Skills; Occupational Choice; Labor Productivity
Thema
affirmative action
quotas
mentorship
identity
gender
adverse selection

Ereignis
Geistige Schöpfung
(wer)
Arve, Malin
Valasek, Justin
Ereignis
Veröffentlichung
(wer)
Center for Economic Studies and ifo Institute (CESifo)
(wo)
Munich
(wann)
2023

Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Arve, Malin
  • Valasek, Justin
  • Center for Economic Studies and ifo Institute (CESifo)

Entstanden

  • 2023

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