This paper develops a possibility theory of discrimination. I use Marx's theories of
accumulation and competition to show that the persistence of alternative forms of
discrimination are consistent with the reproduction of capital. Along the way, I also
develop an approach to labor market segmentation that is independent of the structure
of output markets. Accordingly, this paper accepts and extends recent Marxian notions
on the complementarily of racial exclusion, the accumulation of capital and the
competitive process.
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