Racial discrimination in the U.S. labor market: employment and wage differentials by skill
In the U.S. the average black worker has a lower employment rate and earns a lower wage compared to his white counterpart. Lang and Lehmann (2012) argue that black-white wage and employment gaps are smaller for high-skill workers. We show that a model combining employer taste-based discrimination, s...
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| Format: | Article |
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Elsevier
2017
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| Online Access: | https://eprints.nottingham.ac.uk/46993/ |
| _version_ | 1848797444364566528 |
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| author | Borowczyk-Martins, Daniel Bradley, Jake Tarasonis, Linas |
| author_facet | Borowczyk-Martins, Daniel Bradley, Jake Tarasonis, Linas |
| author_sort | Borowczyk-Martins, Daniel |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | In the U.S. the average black worker has a lower employment rate and earns a lower wage compared to his white counterpart. Lang and Lehmann (2012) argue that black-white wage and employment gaps are smaller for high-skill workers. We show that a model combining employer taste-based discrimination, search frictions and skill complementarities can replicate these regularities, and estimate it using data from the U.S. manufacturing sector. We find that discrimination is quantitatively important to understand differences in wages and job finding rates across workers with low education levels, whereas skill differences are the main driver of those differences among workers with high education levels. |
| first_indexed | 2025-11-14T20:03:58Z |
| format | Article |
| id | nottingham-46993 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| last_indexed | 2025-11-14T20:03:58Z |
| publishDate | 2017 |
| publisher | Elsevier |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-469932020-05-04T19:08:59Z https://eprints.nottingham.ac.uk/46993/ Racial discrimination in the U.S. labor market: employment and wage differentials by skill Borowczyk-Martins, Daniel Bradley, Jake Tarasonis, Linas In the U.S. the average black worker has a lower employment rate and earns a lower wage compared to his white counterpart. Lang and Lehmann (2012) argue that black-white wage and employment gaps are smaller for high-skill workers. We show that a model combining employer taste-based discrimination, search frictions and skill complementarities can replicate these regularities, and estimate it using data from the U.S. manufacturing sector. We find that discrimination is quantitatively important to understand differences in wages and job finding rates across workers with low education levels, whereas skill differences are the main driver of those differences among workers with high education levels. Elsevier 2017-09-28 Article PeerReviewed Borowczyk-Martins, Daniel, Bradley, Jake and Tarasonis, Linas (2017) Racial discrimination in the U.S. labor market: employment and wage differentials by skill. Labour Economics, 49 . pp. 106-127. ISSN 1879-1034 Employment and wage gaps; Discrimination; Job search; Sorting http://www.sciencedirect.com/science/article/pii/S092753711730307X doi:10.1016/j.labeco.2017.09.007 doi:10.1016/j.labeco.2017.09.007 |
| spellingShingle | Employment and wage gaps; Discrimination; Job search; Sorting Borowczyk-Martins, Daniel Bradley, Jake Tarasonis, Linas Racial discrimination in the U.S. labor market: employment and wage differentials by skill |
| title | Racial discrimination in the U.S. labor market: employment and wage differentials by skill |
| title_full | Racial discrimination in the U.S. labor market: employment and wage differentials by skill |
| title_fullStr | Racial discrimination in the U.S. labor market: employment and wage differentials by skill |
| title_full_unstemmed | Racial discrimination in the U.S. labor market: employment and wage differentials by skill |
| title_short | Racial discrimination in the U.S. labor market: employment and wage differentials by skill |
| title_sort | racial discrimination in the u.s. labor market: employment and wage differentials by skill |
| topic | Employment and wage gaps; Discrimination; Job search; Sorting |
| url | https://eprints.nottingham.ac.uk/46993/ https://eprints.nottingham.ac.uk/46993/ https://eprints.nottingham.ac.uk/46993/ |