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REVERSE DISCRIMINATION AND EFFICIENCY IN EDUCATION*
Author(s) -
De Fraja Gianni
Publication year - 2005
Publication title -
international economic review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.658
H-Index - 86
eISSN - 1468-2354
pISSN - 0020-6598
DOI - 10.1111/j.1468-2354.2005.00355.x
Subject(s) - distribution (mathematics) , reverse discrimination , private information retrieval , actuarial science , psychology , public economics , economics , demographic economics , business , microeconomics , political science , statistics , mathematics , law , mathematical analysis , racism
This article shows that reverse discrimination policies can find a justification purely on efficiency grounds. We study the optimal provision of education when households belong to different groups, differing in the distribution of the potential to benefit from education among individuals, which is private information. The main result is that high‐potential individuals from groups with relatively few high‐potential individuals should receive more education than otherwise identical individuals from groups with a more favorable distribution of these benefits.