Racial prejudice and racial residential segregation in an urban model

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92 Scopus citations

Abstract

In this paper, racial prejudice is introduced into an urban model and results about racial discrimination and residential segregation are derived. To be specific, a household maximization problem is used to determine the market rent-distance function that gives no household an incentive to move. Prejudice is introduced by assuming that the racial composition of a location affects a household's utility and by deriving, for both blacks and whites, rent-distance functions that reflect racial composition. These rent-distance functions imply that if whites prefer segregation and some blacks prefer integration, no stable locational equilibrium exists for both races without discrimination.

Original languageEnglish (US)
Pages (from-to)383-396
Number of pages14
JournalJournal of Urban Economics
Volume3
Issue number4
DOIs
StatePublished - Oct 1976
Externally publishedYes

ASJC Scopus subject areas

  • Economics and Econometrics
  • Urban Studies

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