Abstract

This paper's goal is to determine whether the degree of labor market tightness affects the frequency of discrimination charges. State-level panel data on enforcement and litigation actions from the US Equal Employment Opportunity Commission, along with disaggregated labor market statistics, allow us to assess the effects of labor market conditions on discrimination based on race or ethnicity, and how these effects vary across states and over time. Our findings have implications for how macroeconomic policies might be used to promote equal opportunity in the labor market.

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