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The Impact of Federal Civil Rights Policy on Black Economic Progress: Evidence from the Equal Employment Opportunity Act of 1972

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  • Kenneth Y. Chay

Abstract

The Equal Employment Opportunity Act (EEOA) of 1972 extended civil rights coverage to employers with 15–24 employees, while leaving unaffected the civil rights protection for employees of larger firms. In conjunction with pre-existing state fair employment practice (FEP) laws, the EEOA provides a “natural experiment†in which the treatment and control groups are defined by differences across industries in the fraction of workers employed in the newly covered establishments and across states in the scope of the FEP laws. Applying the treatment and control group methodology to Current Population Survey data, the author finds that there were large shifts in the employment and pay practices of the industries most affected by the amendment. The timing of the relative gains and their concentration by industry and region provide evidence that the EEOA had a positive impact on the labor market status of African-Americans.

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  • 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.
    • Handle: RePEc:sae:ilrrev:v:51:y:1998:i:4:p:608-632
    DOI: 10.1177/001979399805100404
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    References listed on IDEAS

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    2. Greenstone, Michael & Gayer, Ted, 2009. "Quasi-experimental and experimental approaches to environmental economics," Journal of Environmental Economics and Management, Elsevier, vol. 57(1), pages 21-44, January.
    3. Johnston, David W. & Lordan, Grace, 2016. "Racial prejudice and labour market penalties during economic downturns," European Economic Review, Elsevier, vol. 84(C), pages 57-75.
    4. Chen, Daniel L. & Sethi, Jasmin, 2016. "Insiders, Outsiders, and Involuntary Unemployment: Sexual Harrassment Exacerbates Gender Inequality," TSE Working Papers 16-687, Toulouse School of Economics (TSE).
    5. Hugo Nopo & Martin Moreno & Jaime Saavedra & Maximo Torero, 2003. "Gender and Racial Discrimination in Hiring: A Pseudo Audit Study for Three Selected Occupations in Metropolitan Lima," Middlebury College Working Paper Series 0404, Middlebury College, Department of Economics.
    6. 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.
    7. 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.
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