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Shifts in Attitudes and Labor Market Discrimination: Swedish Experiences after 9-11

We present longitudinal survey data suggesting that the terrorist attacks in the USA on September 11, 2001, changed attitudes toward certain minorities in Sweden. This finding is consistent with results in previous studies. To investigate whether this change in attitudes also affected the labor mark...

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Bibliographic Details
Published in:Journal of population economics 2005-11, Vol.18 (4), p.603-629
Main Authors: Åslund, Olof, Rooth, Dan-Olof
Format: Article
Language:English
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Summary:We present longitudinal survey data suggesting that the terrorist attacks in the USA on September 11, 2001, changed attitudes toward certain minorities in Sweden. This finding is consistent with results in previous studies. To investigate whether this change in attitudes also affected the labor market situation of these minorities, we study unemployment exit around 9-11 using detailed data on the entire Swedish working-age population. Contrary to what may be expected from many theories of labor market discrimination, the time pattern of exits and entries for different ethnic groups, as well as difference-in-differences analyses, shows no sign of increased discrimination toward these minorities. A possible explanation for this result is that employers act rationally in their hiring decisions and do not respond to changes in attitudes toward immigrants as a group.
ISSN:0933-1433
1432-1475
1432-1475
DOI:10.1007/s00148-005-0036-9