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The Effect of a Health and Economic Shock on the Gender, Ethnic and Racial Gap in Labor Market Outcomes: Evidence from COVID-19

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  • Milovanska-Farrington, Stefani

    (University of Tampa)

Abstract

With more than 29 million confirmed cases of Covid-19 in the U.S. and 119 million cases worldwide, the pandemic has affected companies, households and the global economy. We explore the effect of this health and economic shock on labor market outcomes, and the changes in labor market disparities between ethnic groups and genders. The results provide evidence of an adverse effect of Covid-19 on labor market outcomes of all demographic groups, a widening gap between the employment prospects of minorities and whites, but no change in the earnings gaps between racial and ethnic groups. We also do not find a deterioration of the differentials between genders. The findings have implications related to the priorities of policy decision makers when implementing policies to combat race and ethnic, and gender gaps in the labor market.

Suggested Citation

  • Milovanska-Farrington, Stefani, 2021. "The Effect of a Health and Economic Shock on the Gender, Ethnic and Racial Gap in Labor Market Outcomes: Evidence from COVID-19," IZA Discussion Papers 14272, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp14272
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    References listed on IDEAS

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    Cited by:

    1. Joe Piacentini & Harley Frazis & Peter B. Meyer & Michael Schultz & Leo Sveikauskas, 2022. "The Impact of COVID-19 on Labor Markets and Inequality," Economic Working Papers 551, Bureau of Labor Statistics.

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    More about this item

    Keywords

    health and economic shock; labor market; ethnic disparities; COVID-19; gender disparities; inequality;
    All these keywords.

    JEL classification:

    • J70 - Labor and Demographic Economics - - Labor Discrimination - - - General
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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