TY - JOUR AU - Scotchmer,Suzanne TI - Affirmative Action in Hierarchies JF - National Bureau of Economic Research Working Paper Series VL - No. 11213 PY - 2005 Y2 - March 2005 UR - http://www.nber.org/papers/w11213 L1 - http://www.nber.org/papers/w11213.pdf N1 - Author contact info: Suzanne Scotchmer Department of Economics Evans Hall University of California Berkeley, CA 94720-3880 Tel: 510/643-8562 Fax: 510/643-9657 E-Mail: scotch@berkeley.edu AB - If promotion in a hierarchy is based on a random signal of ability, rates of promotion will be affected by risk-taking. Further, the numbers and abilities of risk-takers and non-risk-takers will be different at each stage of the hierarchy, and the ratio will be changing. I show that, under mild conditions, more risk-takers than non-risk-takers will survive at early stages, but they will have lower ability. At later stages, this will be reversed: Fewer risk-takers than non-risk-takers survive, but they will have higher ability. I give several interpretations for how these theorems relate to affirmative action, in light of considerable evidence that males are more risk-taking than females. ER -