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The Racial Wage Gap: The Importance of Labor Force Attachment Differences across Black, Mexican, and White Men

  • Heather Antecol
  • Kelly Bedard

Labor market attachment differs significantly across young black, Mexican, and white men. Although it has long been agreed that potential experience is a poor proxy for actual experience for women, many view it as an acceptable approximation for men. Using the NLSY, this paper documents the substantial difference between potential and actual experience for both black and Mexican men. We show that the fraction of the black/ white and Mexican/white wage gaps that are explained by differences in potential experience are quite different from the fraction of the racial wage gaps that are explained by actual (real) experience differences.

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File URL: http://jhr.uwpress.org/cgi/reprint/XXXIX/2/564
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Article provided by University of Wisconsin Press in its journal Journal of Human Resources.

Volume (Year): 39 (2004)
Issue (Month): 2 ()
Pages:

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Handle: RePEc:uwp:jhriss:v:39:y:2004:i:2:p564-583
Contact details of provider: Web page: http://jhr.uwpress.org/

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  1. David Card & Alan Krueger, 1990. "School Quality and Black/White Relative Earnings: A Direct Assessment," Working Papers 652, Princeton University, Department of Economics, Industrial Relations Section..
  2. Hausman, Jerry A, 1978. "Specification Tests in Econometrics," Econometrica, Econometric Society, vol. 46(6), pages 1251-71, November.
  3. Heather Antecol & Kelly Bedard, 2002. "The Relative earnings of young Mexican, black, and white women," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 56(1), pages 122-135, October.
  4. Moon-Kak Kim & Solomon W. Polachek, 1994. "Panel Estimates of Male-Female Earnings Functions," Journal of Human Resources, University of Wisconsin Press, vol. 29(2), pages 406-428.
  5. 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 869-95, October.
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  7. Dan Black & Amelia Haviland & Seth Sanders & Lowell Taylor, 2006. "Why Do Minority Men Earn Less? A Study of Wage Differentials among the Highly Educated," The Review of Economics and Statistics, MIT Press, vol. 88(2), pages 300-313, May.
  8. Reimers, Cordelia W, 1983. "Labor Market Discrimination against Hispanic and Black Men," The Review of Economics and Statistics, MIT Press, vol. 65(4), pages 570-79, November.
  9. Ronald Oaxaca, 1971. "Male-Female Wage Differentials in Urban Labor Markets," Working Papers 396, Princeton University, Department of Economics, Industrial Relations Section..
  10. Stephen J. Trejo, 2003. "Intergenerational Progress of Mexican-Origin Workers in the U.S. Labor Market," Journal of Human Resources, University of Wisconsin Press, vol. 38(3).
  11. Wolpin, Kenneth I, 1992. "The Determinants of Black-White Differences in Early Employment Careers: Search, Layoffs, Quits, and Endogenous Wage Growth," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 535-60, June.
  12. Grogger, Jeff, 1996. "Does School Quality Explain the Recent Black/White Wage Trend?," Journal of Labor Economics, University of Chicago Press, vol. 14(2), pages 231-53, April.
  13. Gregory Defreitas, 1986. "A Time-Series Analysis of Hispanic Unemployment," Journal of Human Resources, University of Wisconsin Press, vol. 21(1), pages 24-43.
  14. Smith, James P & Welch, Finis R, 1989. "Black Economic Progress after Myrdal," Journal of Economic Literature, American Economic Association, vol. 27(2), pages 519-64, June.
  15. Marjorie Baldwin & William G. Johnson, 1996. "The employment effects of wage discrimination against black men," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 49(2), pages 302-316, January.
  16. Trejo, Stephen J, 1997. "Why Do Mexican Americans Earn Low Wages?," Journal of Political Economy, University of Chicago Press, vol. 105(6), pages 1235-68, December.
  17. Marjorie L. Baldwin & William G. Johnson, 1996. "The Employment Effects of Wage Discrimination against Black Men," ILR Review, Cornell University, ILR School, vol. 49(2), pages 302-316, January.
  18. McManus, Walter & Gould, William & Welch, Finis, 1983. "Earnings of Hispanic Men: The Role of English Language Proficiency," Journal of Labor Economics, University of Chicago Press, vol. 1(2), pages 101-30, April.
  19. Nan L. Maxwell, 1994. "The Effect on Black-White Wage Differences of Differences in the Quantity and Quality of Education," ILR Review, Cornell University, ILR School, vol. 47(2), pages 249-264, January.
  20. Bernt Bratsberg & Dek Terrell, 1998. "Experience, Tenure, and Wage Growth of Young Black and White Men," Journal of Human Resources, University of Wisconsin Press, vol. 33(3), pages 658-682.
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