IDEAS home Printed from https://ideas.repec.org/p/lev/wrkpap/wp_915.html
   My bibliography  Save this paper

Black Employment Trends since the Great Recession

Author

Listed:
  • Thomas Masterson

Abstract

The Great Recession had a devastating impact on labor force participation and employment. This impact was not unlike other recessions, except in size. The recovery, however, has been unusual not so much for its sluggishness but for the unusual pattern of recovery in employment by race. The black employment-population ratio has increased since bottoming out in 2010, while the white employment-population ratio has remained flat. This paper examines trends in labor force participation and employment by race, sex, and age and determines that the explanation is a combination of an aging white population and an increase in labor force participation among younger black people. It estimates the likelihood of labor force participation and employment among young men and women to control for confounding factors (such as changes in educational characteristics) and decomposes the gaps among groups and the changes over time in labor force participation using a Oaxaca-Blinder-like technique for nonlinear estimations. Findings indicate that much smaller negative impacts of characteristics and greater returns to characteristics among young black men and women than among young white men and women explain the observed trends.

Suggested Citation

  • Thomas Masterson, 2018. "Black Employment Trends since the Great Recession," Economics Working Paper Archive wp_915, Levy Economics Institute.
  • Handle: RePEc:lev:wrkpap:wp_915
    as

    Download full text from publisher

    File URL: http://www.levyinstitute.org/pubs/wp_915.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bradley Ewing & William Levernier & Farooq Malik, 2005. "Modeling Unemployment Rates by Race and Gender: A Nonlinear Time Series Approach," Eastern Economic Journal, Eastern Economic Association, vol. 31(3), pages 333-347, Summer.
    2. Donald Freeman, 2012. "On (Not) Closing the Gaps: The Evolution of National and Regional Unemployment Rates by Race and Ethnicity," The Review of Black Political Economy, Springer;National Economic Association, vol. 39(2), pages 267-284, June.
    3. Marianne Bertrand & Sendhil Mullainathan, 2004. "Are Emily and Greg More Employable Than Lakisha and Jamal? A Field Experiment on Labor Market Discrimination," American Economic Review, American Economic Association, vol. 94(4), pages 991-1013, September.
    4. 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.
    Full references (including those not matched with items on IDEAS)

    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. What’s the story behind who’s working? : Disaggregating EPOP by race and gender
      by ? in FRED blog on 2019-07-18 13:00:18

    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. Spermann, Alexander & Strotmann, Harald, 2005. "The Targeted Negative Income Tax (TNIT) in Germany: Evidence from a Quasi Experiment," ZEW Discussion Papers 05-68, ZEW - Leibniz Centre for European Economic Research.
    2. Jaume Garcia Villar & Climent Quintana, 2005. "Body size, activity, employment and wages in Europe: A first approach," Economics Working Papers 897, Department of Economics and Business, Universitat Pompeu Fabra, revised May 2006.
    3. Anastasia Cozarenco & Ariane Szafarz, 2018. "Gender Biases in Bank Lending: Lessons from Microcredit in France," Journal of Business Ethics, Springer, vol. 147(3), pages 631-650, February.
    4. Samantha Bielen & Peter Grajzl & Wim Marneffe, 2021. "Blame based on one's name? Extralegal disparities in criminal conviction and sentencing," European Journal of Law and Economics, Springer, vol. 51(3), pages 469-521, June.
    5. Jens Ruhose, 2015. "Microeconometric Analyses on Economic Consequences of Selective Migration," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 61.
    6. Peter Younkin & Venkat Kuppuswamy, 2018. "The Colorblind Crowd? Founder Race and Performance in Crowdfunding," Management Science, INFORMS, vol. 64(7), pages 3269-3287, July.
    7. Atsuko Tanaka, "undated". "Estimation of the Effects of Statistical Discrimination on the Gender Wage Gap," Working Papers 2015-22, Department of Economics, University of Calgary, revised 21 Dec 2015.
    8. Polachek, Solomon W., 2008. "Earnings Over the Life Cycle: The Mincer Earnings Function and Its Applications," Foundations and Trends(R) in Microeconomics, now publishers, vol. 4(3), pages 165-272, April.
    9. Younkin, Peter & Kuppuswamy, Venkat, 2019. "Discounted: The effect of founder race on the price of new products," Journal of Business Venturing, Elsevier, vol. 34(2), pages 389-412.
    10. Giovanni Busetta & Fabio Fiorillo & Giulio Palomba, 2021. "The impact of attractiveness on job opportunities in Italy: a gender field experiment," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 38(1), pages 171-201, April.
    11. Song, Wei-Ling & Uzmanoglu, Cihan, 2016. "TARP announcement, bank health, and borrowers’ credit risk," Journal of Financial Stability, Elsevier, vol. 22(C), pages 22-32.
    12. Raymundo M. Campos-Vázquez, 2013. "Efectos de los ingresos no reportados en el nivel y tendencia de la pobreza laboral en México," Ensayos Revista de Economia, Universidad Autonoma de Nuevo Leon, Facultad de Economia, vol. 0(2), pages 23-54, November.
    13. Stephen Brown & William Goetzmann & Bing Liang & Christopher Schwarz, 2008. "Mandatory Disclosure and Operational Risk: Evidence from Hedge Fund Registration," Journal of Finance, American Finance Association, vol. 63(6), pages 2785-2815, December.
    14. Paul W. Miller & Barry R. Chiswick, 2002. "Immigrant earnings: Language skills, linguistic concentrations and the business cycle," Journal of Population Economics, Springer;European Society for Population Economics, vol. 15(1), pages 31-57.
    15. Chul‐Woo Kwon & Peter F. Orazem & Daniel M. Otto, 2006. "Off‐farm labor supply responses to permanent and transitory farm income," Agricultural Economics, International Association of Agricultural Economists, vol. 34(1), pages 59-67, January.
    16. Jonathan Gruber & Aaron Yelowitz, 1999. "Public Health Insurance and Private Savings," Journal of Political Economy, University of Chicago Press, vol. 107(6), pages 1249-1274, December.
    17. Arcand, Jean-Louis & Mbaye, Linguère Mously, 2013. "Braving the Waves: The Role of Time and Risk Preferences in Illegal Migration from Senegal," IZA Discussion Papers 7517, Institute of Labor Economics (IZA).
    18. Sandra Müllbacher & Wolfgang Nagl, 2017. "Labour supply in Austria: an assessment of recent developments and the effects of a tax reform," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 44(3), pages 465-486, August.
    19. Campbell, Randall C. & Nagel, Gregory L., 2016. "Private information and limitations of Heckman's estimator in banking and corporate finance research," Journal of Empirical Finance, Elsevier, vol. 37(C), pages 186-195.
    20. Jože P. Damijan & Mark Knell, 2005. "How Important Is Trade and Foreign Ownership in Closing the Technology Gap? Evidence from Estonia and Slovenia," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 141(2), pages 271-295, July.

    More about this item

    Keywords

    Racial Disparities; Labor Force Participation; Employment; United States;
    All these keywords.

    JEL classification:

    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:lev:wrkpap:wp_915. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: http://www.levyinstitute.org .

    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: Elizabeth Dunn (email available below). General contact details of provider: http://www.levyinstitute.org .

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.