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Persistent Advantage or Disadvantage?: Evidence in Support of the Intergenerational Drag Hypothesis

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  • William Darity
  • Jason Dietrich
  • David K. Guilkey

Abstract

By utilizing the Integrated Public Use Microdata Series (IPUMS) and a measure of occupational prestige (OCCSCORE) as a labor market outcome, the authors examine variations in the degree of labor market discrimination faced by several ethnic and racial groups in the United States between 1880 and 1990. Results demonstrate that the sharpest decline in labor market discrimination against blacks occurred between 1960 and 1980. For black males the extent of labor market discrimination was greater in all census years in IPUMS after 1880 until 1970, evidence contradicting the conventional expectation that market‐based discrimination will decline progressively over time by dint of competitive pressure. Finally, after replicating George Borjas' “ethnic capital” exercise, the authors pool the 1880, 1900, and 1910 data to determine the relative magnitude of a group's gains and losses in occupational prestige due to group advantage or disadvantage in human capital endowments and due to favorable or unfavorable treatment (nepotism or discrimination) of those endowments in the labor market. The authors then examine statistically whether the group human capital advantage or disadvantage and group exposure to nepotism or discrimination at the turn of the century affects labor market outcomes for their descendants today. Results indicate strong effects of the past on present labor market outcomes. Hence, the essence of the study is the statistical demonstration that there are significant and detectable effects on current generations of the labor market experiences of their racial/ethnic ancestors.

Suggested Citation

  • William Darity & Jason Dietrich & David K. Guilkey, 2001. "Persistent Advantage or Disadvantage?: Evidence in Support of the Intergenerational Drag Hypothesis," American Journal of Economics and Sociology, Wiley Blackwell, vol. 60(2), pages 435-470, April.
    • Handle: RePEc:bla:ajecsc:v:60:y:2001:i:2:p:435-470
    DOI: 10.1111/1536-7150.00070
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    Cited by:

    1. Inwood, Kris & Minns, Chris & Summerfield, Fraser, 2019. "Occupational income scores and immigrant assimilation. Evidence from the Canadian census," Explorations in Economic History, Elsevier, vol. 72(C), pages 114-122.
    2. Bruce Sacerdote, 2005. "Slavery and the Intergenerational Transmission of Human Capital," The Review of Economics and Statistics, MIT Press, vol. 87(2), pages 217-234, May.
    3. William Darity Jr & Dania Frank, 2003. "The Economics of Reparations," American Economic Review, American Economic Association, vol. 93(2), pages 326-329, May.
    4. Vincent E. Mangum, 2020. "What Does Political Economy Tell Us About the Dearth of Black Entrepreneurs?," The American Economist, Sage Publications, vol. 65(1), pages 131-143, March.
    5. Phillip O’Hara, 2004. "A new family-community social structure," Forum for Social Economics, Springer;The Association for Social Economics, vol. 33(2), pages 51-80, March.
    6. William Darity, 2004. "The wellspring of racial inequality," The Review of Black Political Economy, Springer;National Economic Association, vol. 32(2), pages 61-68, December.
    7. Hamilton, Darrick & Goldsmith, Arthur H. & Darity Jr., William, 2009. "Shedding "light" on marriage: The influence of skin shade on marriage for black females," Journal of Economic Behavior & Organization, Elsevier, vol. 72(1), pages 30-50, October.
    8. William Darity, Jr. & Ashwini Deshpande & Thomas Weisskopf, 2011. "Who Is Eligible? Should Affirmative Action be Group‐ or Class‐Based?," American Journal of Economics and Sociology, Wiley Blackwell, vol. 70(1), pages 238-268, January.
    9. William Darity, 2008. "Forty Acres and a Mule in the 21st Century," Social Science Quarterly, Southwestern Social Science Association, vol. 89(3), pages 656-664, September.
    10. Grossbard, Shoshana & Gimenez-Nadal, José Ignacio & Molina, José Alberto, 2010. "Racial Discrimination and Household Chores," IZA Discussion Papers 5345, Institute of Labor Economics (IZA).
    11. Siddiqi, Arjumand & Jones, Marcella K. & Bruce, Donald J. & Erwin, Paul C., 2016. "Do racial inequities in infant mortality correspond to variations in societal conditions? A study of state-level income inequality in the U.S., 1992–2007," Social Science & Medicine, Elsevier, vol. 164(C), pages 49-58.
    12. Cruz Bueno, 2015. "Stratification Economics and Grassroots Development: The Case of Low–Income Black Women Workers in Santo Domingo, Dominican Republic," The Review of Black Political Economy, Springer;National Economic Association, vol. 42(1), pages 35-55, June.
    13. William Darity, 2004. "The wellspring of racial inequality," The Review of Black Political Economy, Springer;National Economic Association, vol. 32(2), pages 61-68, December.
    14. Moss, Laurence, 2008. "A comment on economics and sociology," economic sociology. perspectives and conversations, Max Planck Institute for the Study of Societies, vol. 9(3), pages 25-26.
    15. Subica, Andrew M. & Link, Bruce G., 2022. "Cultural trauma as a fundamental cause of health disparities," Social Science & Medicine, Elsevier, vol. 292(C).
    16. Meerman, Jacob, 2005. "Oppressed people: Economic mobility of the socially excluded," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 34(4), pages 542-567, August.
    17. Bogan, Vicki & Darity Jr., William, 2008. "Culture and entrepreneurship? African American and immigrant self-employment in the United States," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(5), pages 1999-2019, October.
    18. Robert H. Scott & Kenneth Mitchell & Joseph Patten, 2022. "Intergroup disparity among student loan borrowers," Review of Evolutionary Political Economy, Springer, vol. 3(3), pages 515-538, October.

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