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Wage Compression and Wage Inequality Between Black and White Males in the United States, 1940–1960

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  • Maloney, Thomas N.

Abstract

The gap between the mean wages of black men and white men in the United States narrowed substantially between 1940 and 1950. There was, however, almost no change in this wage gap between 1950 and 1960. Some of this discontinuity in the path of black progress can be explained by general changes in the wage structure—wage compression in the 1940s and slight expansion in the 1950s. However, most of the gains of the 1940s were driven by race-specific factors, including increasing relative wages controlling for worker characteristics. These race-specific gains ceased in the 1950s.

Suggested Citation

  • Maloney, Thomas N., 1994. "Wage Compression and Wage Inequality Between Black and White Males in the United States, 1940–1960," The Journal of Economic History, Cambridge University Press, vol. 54(2), pages 358-381, June.
    • Handle: RePEc:cup:jechis:v:54:y:1994:i:02:p:358-381_01
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    Cited by:

    1. Hirata, Guilherme & Soares, Rodrigo R., 2020. "Competition and the racial wage gap: Evidence from Brazil," Journal of Development Economics, Elsevier, vol. 146(C).
    2. William J. Collins, 2003. "The Labor Market Impact of State-Level Anti-Discrimination Laws, 1940–1960," ILR Review, Cornell University, ILR School, vol. 56(2), pages 244-272, January.
    3. Bailey, Martha J. & Collins, William J., 2006. "The Wage Gains of African-American Women in the 1940s," The Journal of Economic History, Cambridge University Press, vol. 66(3), pages 737-777, September.
    4. Teraji, Shinji, 2011. "An economic analysis of social exclusion and inequality," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(3), pages 217-223, May.
    5. Scotese Carol A., 2010. "War Mobilization and the Great Compression," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-29, July.
    6. Alexander J. Field, 2023. "The decline of US manufacturing productivity between 1941 and 1948," Economic History Review, Economic History Society, vol. 76(4), pages 1163-1190, November.
    7. Collins, William J. & Margo, Robert A., 2001. "Race and Home Ownership: A Century-Long View," Explorations in Economic History, Elsevier, vol. 38(1), pages 68-92, January.
    8. William J. Collins, 2001. "The Labor Market Impact of State-Level Anti-Discrimination Laws, 1940-1960," Vanderbilt University Department of Economics Working Papers 0108, Vanderbilt University Department of Economics.
    9. Louis A. Ferleger & Matthew Lavallee, 2017. "Lending a Hand: How Small Black Businesses Supported the Civil Rights Movement," Working Papers Series 67, Institute for New Economic Thinking.
    10. William J. Collins & Marianne H. Wanamaker, 2014. "Selection and Economic Gains in the Great Migration of African Americans: New Evidence from Linked Census Data," American Economic Journal: Applied Economics, American Economic Association, vol. 6(1), pages 220-252, January.
    11. William J. Collins & Gregory T. Niemesh, 2024. "Income Gains and the Geography of the US Home Ownership Boom, 1940 to 1960," NBER Chapters, in: The Economic History of American Inequality: New Evidence and Perspectives, National Bureau of Economic Research, Inc.
    12. Anna Aizer & Ryan Boone & Adriana Lleras-Muney & Jonathan Vogel, 2020. "Discrimination and Racial Disparities in Labor Market Outcomes: Evidence from WWII," NBER Working Papers 27689, National Bureau of Economic Research, Inc.
    13. Margo, Robert A., 2016. "Obama, Katrina, and the Persistence of Racial Inequality," The Journal of Economic History, Cambridge University Press, vol. 76(2), pages 301-341, June.
    14. Ager, Philipp & Hansen, Casper Worm, 2017. "Closing Heaven's Door: Evidence from the 1920s U.S. Immigration Quota Acts," Discussion Papers on Economics 11/2017, University of Southern Denmark, Department of Economics.
    15. William J. Collins & Robert A. Margo, 1999. "Race and Home Ownership, 1900 to 1990," NBER Working Papers 7277, National Bureau of Economic Research, Inc.
    16. Patrick Bayer & Kerwin Kofi Charles, 2016. "Divergent Paths: Structural Change, Economic Rank, and the Evolution of Black-White Earnings Differences, 1940-2014," NBER Working Papers 22797, National Bureau of Economic Research, Inc.
    17. William J. Collins & Marianne H. Wanamaker, 2017. "African American Intergenerational Economic Mobility Since 1880," NBER Working Papers 23395, National Bureau of Economic Research, Inc.
    18. Duque, Valentina & Schmitz, Lauren L., 2020. "The Influence of Early-life Economic Shocks on Long-term Outcomes: Evidence from the U.S. Great Depression," Working Papers 2020-11, University of Sydney, School of Economics.

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