In this paper we analyze the coevolution of segregation into private and state schools, beliefs about the educational merits of different schools, and labor market discrimination. In a dynamic model, we characterize a necessary and sufficient condition on initial levels of segregation and beliefs under which full polarization of beliefs and long-run labor market discrimination are sustainable. The model suggests a new perspective on the long-term effects of different policy interventions, such as integration, school vouchers and policies that are directly targeted toward influencing beliefs.
"The Coevolution of Segregation, Polarized Beliefs, and Discrimination: The Case of Private versus State Education."
American Economic Journal: Microeconomics,
Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
State and Local Government: Health; Education; Welfare; Public Pensions
Analysis of Education
Education and Inequality
Education: Government Policy