480. How Much Does Discrimination Hurt the Economy? (Replay)

Evidence from Nazi Germany and 1940’s America (and pretty much everywhere else) shows that discrimination is incredibly costly — to the victims, of course, but also the perpetrators. One modern solution is to invoke a diversity mandate. But new research shows that’s not necessarily the answer. RESOURCES: " Discrimination, Managers, and Firm Performance: Evidence from 'Aryanizations' in Nazi Germany ," by Kilian Huber, Volker Lindenthal, and Fabian Waldinger ( Journal of Political Economy, 2021). " Diversity and Performance in Entrepreneurial Teams ," by Sophie Calder-Wang, Paul A. Gompers, and Kevin Huang ( SSRN, 2021). " Systemic Discrimination Among Large U.S. Employers ," by Patrick M. Kline, Evan K. Rose, and Christopher R. Walters ( NBER Working Papers, 2021). City of Champions: A History of Triumph and Defeat in Detroit , by Silke-Maria Weineck and Stefan Szymanski (2020). " The Allocation of Talent and U.S. Economic Growth ," by Chang-Tai Hsieh, Erik Hurst, Charles I. Jones, and Peter J. Klenow ( Econometrica, 2019). Genius & Anxiety: How Jews Changed the World, 1847-1947 , by Norman Lebrecht (2019). " And the Children Shall Lead: Gender Diversity and Performance in Venture…