IDEAS home Printed from https://ideas.repec.org/a/wly/soecon/v65y1998i1p20-41.html
   My bibliography  Save this article

Racial Earnings Disparities and Family Structure

Author

Listed:
  • William A. Darity
  • Samuel L. Myers
  • Chanjin Chung

Abstract

One explanation for the widening of racial earnings gaps among family heads during the 1980s is that black families were increasingly headed by females during that period. This explanation is tested using data on black and white family heads in 1976 and 1985 from the Institute for Research on Poverty's Current Population Survey. Log‐earnings equations, corrected for selection bias and for the endogeneity of labor force participation, are estimated for blacks and whites in 1976 and 1985. If the impact of rising female‐family headship on labor force participation is ignored, one finds support for the family structure explanation. But support for alternative explanations is also found. There are substantial impacts of within‐race gender discrimination and of market racial discrimination. When the endogeneity of family structure is taken into account, further support is found for the view that endowment differences only explain a modest portion of the rising gap in earnings between black and white family heads.

Suggested Citation

  • William A. Darity & Samuel L. Myers & Chanjin Chung, 1998. "Racial Earnings Disparities and Family Structure," Southern Economic Journal, John Wiley & Sons, vol. 65(1), pages 20-41, July.
  • Handle: RePEc:wly:soecon:v:65:y:1998:i:1:p:20-41
    DOI: 10.1002/j.2325-8012.1998.tb00126.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/j.2325-8012.1998.tb00126.x
    Download Restriction: no

    File URL: https://libkey.io/10.1002/j.2325-8012.1998.tb00126.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Blau, Francine D & Beller, Andrea H, 1992. "Black-White Earnings over the 1970s and 1980s: Gender Differences in Trends," The Review of Economics and Statistics, MIT Press, vol. 74(2), pages 276-286, May.
    2. Charles Brown, 1984. "Black-White Earnings Ratios Since the Civil Rights Act of 1964: The Importance of Labor Market Dropouts," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 99(1), pages 31-44.
    3. Freeman, Richard B, 1973. "Decline of Labor Market Discrimination and Economic Analysis," American Economic Review, American Economic Association, vol. 63(2), pages 280-286, May.
    4. David Card & Alan B. Krueger, 1992. "School Quality and Black-White Relative Earnings: A Direct Assessment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(1), pages 151-200.
    5. John Bound & Richard B. Freeman, 1992. "What Went Wrong? The Erosion of Relative Earnings and Employment Among Young Black Men in the 1980s," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(1), pages 201-232.
    6. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    7. Donohue, John J, III & Heckman, James, 1991. "Continuous versus Episodic Change: The Impact of Civil Rights Policy on the Economic Status of Blacks," Journal of Economic Literature, American Economic Association, vol. 29(4), pages 1603-1643, December.
    8. Ellwood, David T & Crane, Jonathan, 1990. "Family Change among Black Americans: What Do We Know?," Journal of Economic Perspectives, American Economic Association, vol. 4(4), pages 65-84, Fall.
    9. repec:eee:labchp:v:1:y:1986:i:c:p:525-602 is not listed on IDEAS
    10. William Darity, 1980. "Illusions of black economic progress," The Review of Black Political Economy, Springer;National Economic Association, vol. 10(2), pages 153-168, December.
    11. John F. Ermisch & Robert E. Wright, 1991. "Welfare Benefits and Lone Parents' Employment in Great Britain," Journal of Human Resources, University of Wisconsin Press, vol. 26(3), pages 424-456.
    12. Smith, James P & Welch, Finis R, 1989. "Black Economic Progress after Myrdal," Journal of Economic Literature, American Economic Association, vol. 27(2), pages 519-564, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. 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.
    2. repec:eee:labchp:v:3:y:1999:i:pc:p:3143-3259 is not listed on IDEAS
    3. Lex Borghans & Bas Ter Weel & Bruce A. Weinberg, 2014. "People Skills and the Labor-Market Outcomes of Underrepresented Groups," ILR Review, Cornell University, ILR School, vol. 67(2), pages 287-334, April.
    4. Neal, Derek A & Johnson, William R, 1996. "The Role of Premarket Factors in Black-White Wage Differences," Journal of Political Economy, University of Chicago Press, vol. 104(5), pages 869-895, October.
    5. Borghans, Lex & ter Weel, Bas & Weinberg, Bruce A., 2005. "People People: Social Capital and the Labor-Market Outcomes of Underrepresented Groups," IZA Discussion Papers 1494, Institute of Labor Economics (IZA).
    6. 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.
    7. Lex Borghans & Bas Ter Weel & Bruce A. Weinberg, 2014. "People Skills and the Labor-Market Outcomes of Underrepresented Groups," ILR Review, Cornell University, ILR School, vol. 67(2), pages 287-334, April.
    8. Jamie H. Douglas & Michael D. Steinberger, 2015. "The Sexual Orientation Wage Gap for Racial Minorities," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 54(1), pages 59-108, January.
    9. Celeste K. Carruthers & Marianne H. Wanamaker, 2017. "Separate and Unequal in the Labor Market: Human Capital and the Jim Crow Wage Gap," Journal of Labor Economics, University of Chicago Press, vol. 35(3), pages 655-696.
    10. Ross Levine & Alexey Levkov & Yona Rubinstein, 2008. "Racial Discrimination and Competition," NBER Working Papers 14273, National Bureau of Economic Research, Inc.
    11. Eric D. Gould, 2021. "Torn Apart? The Impact of Manufacturing Employment Decline on Black and White Americans," The Review of Economics and Statistics, MIT Press, vol. 103(4), pages 770-785, October.
    12. Charles L. Ballard & John H. Goddeeris, 2023. "Southern gains and northern losses: Regional variation in the evolution of black/white earnings differences in the United States, 1976–2017," Southern Economic Journal, John Wiley & Sons, vol. 90(1), pages 44-70, July.
    13. Card, David & Lemieux, Thomas, 1996. "Wage dispersion, returns to skill, and black-white wage differentials," Journal of Econometrics, Elsevier, vol. 74(2), pages 319-361, October.
    14. Mary Kate Batistich & Timothy N Bond, 2023. "Stalled Racial Progress and Japanese Trade in the 1970s and 1980s," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 90(6), pages 2792-2821.
    15. William J. Collins & Michael Q. Moody, 2017. "Racial Differences in American Women's Labor Market Outcomes: A Long-Run View," NBER Working Papers 23397, National Bureau of Economic Research, Inc.
    16. Derek Neal & Armin Rick, 2014. "The Prison Boom and the Lack of Black Progress after Smith and Welch," NBER Working Papers 20283, National Bureau of Economic Research, Inc.
    17. Carnoy, Martin, 1996. "Race, gender, and the role of education in earnings inequality: An introduction," Economics of Education Review, Elsevier, vol. 15(3), pages 207-212, June.
    18. Neal, Derek A. & Rick, Armin, 2013. "The Prison Boom & The Lack of Black Progress After Smith & Welch," Working Papers 248, The University of Chicago Booth School of Business, George J. Stigler Center for the Study of the Economy and the State.
    19. Bertocchi, Graziella & Dimico, Arcangelo, 2014. "Slavery, education, and inequality," European Economic Review, Elsevier, vol. 70(C), pages 197-209.
    20. Kenneth Y. Chay, 1998. "The Impact of Federal Civil Rights Policy on Black Economic Progress: Evidence from the Equal Employment Opportunity Act of 1972," ILR Review, Cornell University, ILR School, vol. 51(4), pages 608-632, July.
    21. Orley Ashenfelter & William J. Collins & Albert Yoon, 2006. "Evaluating the Role of Brown v. Board of Education in School Equalization, Desegregation, and the Income of African Americans," American Law and Economics Review, American Law and Economics Association, vol. 8(2), pages 213-248.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:soecon:v:65:y:1998:i:1:p:20-41. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://doi.org/10.1002/(ISSN)2325-8012 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.