3min chapter

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480. How Much Does Discrimination Hurt the Economy?

Freakonomics Radio

CHAPTER

Divers Teams Perform Better When People Are Forced to Choose on Their Own

In the random lay assignd cohort one standard deviation increase in diversity leads to about 15 % degradation in their performance. When people are matched with teams that are the same in terms of both gender and ethnicity, these teams do much better than teams that mismatch on either dimensions. In other words, when people were allowed to choose on their own, divers teams perform just fine. The problem lies when you are forced to work together in the divers team. And that's why i've manufactured this word of forced diversity as opposed to organic diversity.

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