Discrimination and Human Capital: A Challenge to Economic Theory & Social Justice

Abstract

This article reports findings of a study using the National Longitudinal Survey of Youth (NLSY79) to test the rational choice theory that discrimination discourages investments in human capital. Nearly 60% of the study sample (N = 5,585) reported job-hiring discrimination (race, nationality, sex, or age) between 1979 & 1982 & they were found to invest more in job training programs & additional schooling between 1983 & 1998 than those reporting no such discrimination. White males were found to have the greatest advantage over black males & females in regard to job training & over black females in regard to additional schooling. Findings suggest that appeals to affirmative action policies & programs based on race & sex remain warranted. 3 Tables, 44 References. Adapted from the source document.