Gender Differences in Trends and Sources of the Racial Pay Gap, 1970-2010

• In Event: 023 - Regular Session. Black and African Americans

Abstract

Using IPUMS data for five decennial years between 1970 and 2010, we delineate and compare the trends and sources of the racial pay gap among men and women in the U.S. labor force. Decomposition of the pay gap into components reveals meaningful gender differences in the size and composition of the gap, but also striking similarities in its over-time trend. While the earnings disadvantages of black men are substantial throughout the entire period, the net earnings gaps among women are relatively small or in favor of black women. The trend, however, is strikingly similar for both genders. Racial gaps sharply declined between 1970 and 1980 and continued to decline but at a slower rate between 1980 and 2000. However, at the turn of the millennium the trend was reversed for both gender groups. Most of the decline in the pay gap can be attributed to a reduction in occupational segregation and a decrease in economic discrimination. The growth of the gap at the turn of the millennium is attributable to the increase in overall income inequality, stagnation in occupational segregation, and an increase in economic discrimination. Possible explanations for the reversal of the trend and the implications of such a reversal are discussed and evaluated.

Authors

• Hadas Mandel, Tel Aviv University

• Moshe Semyonov, Tel Aviv University