ULMS Electronic Module Catalogue

The information contained in this module specification was correct at the time of publication but may be subject to change, either during the session because of unforeseen circumstances, or following review of the module at the end of the session. Queries about the module should be directed to the member of staff with responsibility for the module.
Title Economics of Diversity & Inclusion
Code ECON217
Coordinator Professor IC Burn
Year CATS Level Semester CATS Value
Session 2023-24 Level 5 FHEQ First Semester 15

Pre-requisites before taking this module (other modules and/or general educational/academic requirements):


Modules for which this module is a pre-requisite:


Programme(s) (including Year of Study) to which this module is available on a required basis:


Programme(s) (including Year of Study) to which this module is available on an optional basis:


Teaching Schedule

  Lectures Seminars Tutorials Lab Practicals Fieldwork Placement Other TOTAL
Study Hours 24


Timetable (if known)              
Private Study 120


EXAM Duration Timing
% of
Penalty for late
Assessment 3: Final Exam Assessment Type: Written Exam, Unseen, Managed by SAS Duration: 2hrs Weighting: 70% Reassessment Opportunity: Yes. Penalty for Late Submission: Standard UoL Penalty Appli    70       
CONTINUOUS Duration Timing
% of
Penalty for late
Assessment 1: Participation Assessment Type: Practical Assessment Duration / Size: None additional to seminars Weighting: 5% Reassessment Opportunity: Yes Penalty for Late Submission: Non-Standar         
Assessment 2: Critical Reflection Assessment Type: Coursework Size: 2,000 words Weighting: 25% Reassessment Opportunity: Yes. Penalty for Late Submission: Standard UoL Penalty Applies. Anonymous    25       


This module aims to equip students with an understanding of diversity and inclusion as an economic problem. Students will develop their skills in applying theoretical economic and empirical tools to examine the issues of diversity and inclusion. Knowledge is co-constructed through the evaluation of landmark research papers in the field and thus supports a wider agenda for research in applied economics as well as the specific field. By combining theory with empirical techniques and results, students will learn how to critically examine data, participate in economic debates, and analyse policy.

Learning Outcomes

(LO1) Students will demonstrate the ability to apply the knowledge and skills they have acquired to the solution of specific theoretical and applied problems in the economics of diversity & inclusion.

(LO2) Students will demonstrate an understanding of alternative approaches to the analysis of economic phenomena.

(LO3) Students will demonstrate appropriate tools of analysis to tackle issues and problems of economic policy in the area of Diversity & Inclusion and more generally.

(LO4) Students will demonstrate the ability to interpret real-world economic data and critically assess a range of types of evidence.

(LO5) Students will be able to appreciate the economic and welfare dimensions of the wider ethical, social and political issues of diversity & inclusion.

(S1) Communication Skills

(S2) Literacy

(S3) Numeracy

(S4) Business Awareness

Teaching and Learning Strategies

Teaching Method 1: Lecture
Scheduled Directed Student Hours: 24
Description: 12 weeks 2hr lectures
Attendance Recorded: Yes

Teaching Method 2: Seminars
Scheduled Directed Student Hours: 6
Description: 6 weeks 1hr Seminars in which students will discuss weekly lecture materials and guided activities
Attendance Recorded: Yes

Self-Directed Learning Hours: 120
Description: Students should undertake reflection of lecture material, reading and preparation for discussion in seminars.

Students must have taken ECON121 and ECON112

Skills Mapping:

Skill 1: Communication skills
How is this developed: Through discussions in seminars and the written reflection, students will gain the skills to listen intently to others, contribute to the conversation with insightful questions and comments, and to respect others.
How is this assessed: Seminar Participation, Critical Reflection and Final Examination

Skill 2: Literacy
How is this developed: The written reflection will teach students to produce clear, structured written work.
How is this assessed: Final Examination

Skill 3: Numeracy
How is this developed: The lectures, seminars, and readings will familiarize students with how data is used and how to discuss data and statistics.
How is this assessed: Critical Reflection and Final Examination

Skill 4: Business awareness
How is this developed: The lectures and seminars will teach students how to determine the costs and benefits of inclusion, as well as teaching them how to evaluate business cases for diversity and inclusion.
How is this assessed: Seminar Participation and Final Examination



1. Economic rationale for diversity in the workplace
a. Required Reading
i. Cook, L.D., Richardson, N. and Tankersley, J., 2021. Can addressing inequality unleash economic growth?. Business Economics, 56(2), pp.59-66.
ii. Hunt, V., Prince, S., Dixon-Fyle, S. and Yee, L., 2018. Delivering through diversity. McKinsey & Company, 231.
iii. Tsusaka, M., Krentz, M. and Reeves, M., 2021. The Business Imperative of Diversity. In Winning the’20s (pp. 75-82). De Gruyter.

Economics of Discrimination
2. Taste-based discrimination
a. Required Reading
i. Becker, G.S., 2010. The economics of discrimination. University of Chicago press. Chapters 2, 3, 4, and 5
3. Statistical discrimination
a. Required Reading
i. Aigner, D.J. and Cain, G.G., 1977. Statistical theories of discrimination in labor markets. Ilr Review, 30(2), pp.175-187.
4. Other models of discrimination
a.&# x9;Required Reading
i. Small, M.L. and Pager, D., 2020. Sociological perspectives on racial discrimination. Journal of Economic Perspectives, 34(2), pp.49-67.
b. Supplemental Material
i. Bertrand, M., Chugh, D. and Mullainathan, S., 2005. Implicit discrimination. American Economic Review, 95(2), pp.94-98.

Tools for Studying Diversity
5. Experiments
a. Required Reading
i. Neumark, D., 2018. Experimental research on labor market discrimination. Journal of Economic Literature, 56(3), pp.799-866. Sections 2-7.
b. Supplemental Material
i. Bertrand, M. and Duflo, E., 2017. Field experiments on discrimination. Handbook of economic field experiments, 1, pp.309-393. Section 1.
6. Decomposition techniques
a. Required Reading
i. Amadxarif, Z., Angeli, M., Haldane, A. and Zemaityte, G., 2020. Understanding pay gaps.
ii. van der Meulen Rodgers, Y., 2006. A primer on wage gap decompositions in the analysis of labor market discrimination. Handbook on the Economics of Discrimination, p.11.

Empirical Overview of Discrimination
7. Discrimination based on race
a. Required Reading
i. Lang, K. and Kahn-Lang Spitzer, A., 2020. Race discrimination: An economic perspective. Journal of Economic Perspectives, 34(2), pp.68-89.
b. Supplemental Reading
i. Cook, L.D., Jones, M.E., Rosé, D. and Logan, T.D., 2020. The Green Books and the Geography of Segregation in Public Accommodations (No. w26819). National Bureau of Economic Research.
ii. Andrews, R., Casey, M., Hardy, B.L. and Logan, T.D., 2017. Location matters: Historical racial segregation and intergenerational mobility. Economics Letters, 158, pp.67-72.
8. Discrimination based on gender and gender identity
a. Required Reading
i. Geijtenbeek, L. and Plug, E., 2018. Is there a penalty for registered women? Is there a premium for registered men? Evidence from a sample of transsexual workers. European Economic Review, 109, pp.334-347.
ii. Kleven, H., Landais, C. and Søgaard, J.E., 2019. Children and gender inequality: Evidence from Denmark. American Economic Journal: Applied Economics, 11(4), pp.181-209.
b. Supplemental Reading
i. Bertrand, M., Kamenica, E. and Pan, J., 2015. Gender identity and relative income within households. The Quarterly Journal of Economics, 130(2), pp.571-614.
ii. Blau, F.D. and Kahn, L.M., 2017. The gender wage gap: Extent, trends, and explanations. Journal of economic literature, 55(3), pp.789-865.
9. Discrimination based on age and disability
a. Required Reading
i. Neumark, D., Burn, I. and Button, P., 2019. Is it harder for older workers to find jobs? New and improved evidence from a field experiment. Journal of Political Economy, 127(2), pp.922-970.
ii. Jones, M.K., 2008. Disability and the labour market: a review of the empirical evidence. Jo urnal of Economic Studies.
b. Supplemental Material
i. Burn, I., Button, P., Corella, L.M. and Neumark, D., 2021. Does Ageist Language in Job Ads Predict Age Discrimination in Hiring? Journal of Labor Economics, forthcoming.
10. Discrimination based on sexual orientation
a. Required Reading
i. Badgett, M.V., Carpenter, C.S. and Sansone, D., 2021. LGBTQ economics. Journal of Economic Perspectives, 35(2), pp.141-70.
Promoting Diversity and Inclusion in the Workplace
11. Policies
a. Supplemental Reading
i. Neumark, D. and Stock, W.A., 2006. The labor market effects of sex and race discrimination laws. Economic Inquiry, 44(3), pp.385-419.
ii. Burn, I. and Kettler, K., 2019. The more you know, the better you’re paid? Evidence from pay secrecy bans for managers. Labour Economics, 59, pp.92-109.
iii. Ginther, D.K., Currie, J.M., Blau, F.D. and Croson, R.T., 2020, May. Can mentoring help female assistan t professors in economics? an evaluation by randomized trial. In AEA Papers and Proceedings (Vol. 110, pp. 205-09).
12. Consolidation and Review

Recommended Texts

Reading lists are managed at readinglists.liverpool.ac.uk. Click here to access the reading lists for this module.