Munich Personal RePEc Archive

Decomposing Black-White Wage Gaps Across Distributions: Young U.S. Men and Women in 1990 vs. 2011

Richey, Jeremiah and Tromp, Nikolas (2016): Decomposing Black-White Wage Gaps Across Distributions: Young U.S. Men and Women in 1990 vs. 2011.

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Abstract

We investigate changes in black-white wage gaps across wage distributions for young men and women in the U.S. between 1990 and 2011. Gaps are decomposed into composition and structural effects using a semi-parametric framework. Further, we investigate the roles of occupational choice and self-selection. We find a fall in the composition effect shrinks the wage gap at the lower end of the distribution for men and women. Conversely, an increase in the composition effect for men, and an increase in the structural effect for women, drives a widening of the wage gap at the upper end of the wage distribution.

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