Do Minorities Misrepresent Their Ethnicity to Avoid Discrimination?

CERGE-EI Working Paper Series No. 644

49 Pages Posted: 30 Dec 2019

See all articles by Nikoloz Kudashvili

Nikoloz Kudashvili

Charles University in Prague - CERGE-EI (Center for Economic Research and Graduate Education - Economics Institute)

Philipp Lergetporer

CESifo (Center for Economic Studies and Ifo Institute) - Ifo Institute

Multiple version iconThere are 2 versions of this paper

Date Written: December 1, 2019

Abstract

Discrimination against minorities is pervasive in many societies, but little is known about strategies minorities may apply to minimize discrimination. In our trust game with 758 high school students in the country of Georgia, ethnic Georgian trustors discriminate against the ethnic Armenian minority group. We introduce an initial signaling stage to investigate Armenians’ willingness to hide their ethnicity to avoid expected discrimination. 43 percent of Armenian trustees untruthfully signal that they have a Georgian name. Signaling behavior is driven by expected transfers and non-pecuniary motives. This strategic misrepresentation of ethnicity increases Georgian trustors’ expected back transfers and eliminates their discriminatory behavior.

Keywords: discrimination, trust game, experiment, signaling, adolescents

JEL Classification: C91, C93, D83, J15, D90

Suggested Citation

Kudashvili, Nikoloz and Lergetporer, Philipp, Do Minorities Misrepresent Their Ethnicity to Avoid Discrimination? (December 1, 2019). CERGE-EI Working Paper Series No. 644. Available at SSRN: https://ssrn.com/abstract=3500603 or http://dx.doi.org/10.2139/ssrn.3500603

Nikoloz Kudashvili (Contact Author)

Charles University in Prague - CERGE-EI (Center for Economic Research and Graduate Education - Economics Institute) ( email )

P.O. Box 882
7 Politickych veznu
Prague 1, 111 21
Czech Republic

Philipp Lergetporer

CESifo (Center for Economic Studies and Ifo Institute) - Ifo Institute ( email )

Dresden Branch
Einsteinstraße 3
Dresden, 01069
Germany

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