Race and Gender Pay Differentials

47 Pages Posted: 14 Jul 2000 Last revised: 25 May 2001

See all articles by Francine D. Blau

Francine D. Blau

Cornell University - Department of Economics; National Bureau of Economic Research (NBER); CESifo (Center for Economic Studies and Ifo Institute for Economic Research); IZA Institute of Labor Economics; German Institute for Economic Research (DIW Berlin)

Lawrence M. Kahn

Cornell University - School of Industrial and Labor Relations; CESifo (Center for Economic Studies and Ifo Institute for Economic Research); IZA Institute of Labor Economics

Date Written: July 1992

Abstract

In this paper we review research findings from the 1980s and early 1990s on race and gender pay gaps. In addition. we present some evidence from the Current Population Surveys (1972, 1982 and 1989) regarding the impact of shifts in the industrial composition of employment and in interindustry wage differentials on these gaps. The gender gap in pay was stable in the 1970s but fell steadily in the 1980s; the opposite patterns were observed for black-white wage differentials--a trend towards convergence in the 1970s and stability in the 1980s. Understanding these new trends comprised the unifying theme of our review. Existing studies suggest that changes in wage structure. changing relative skill levels by race and sex. and. possibly. changes in the implementation of government policies all played a role in producing the observed outcomes. although impacts were sometimes countervailing. Our own results indicate that total industry effects (representation plus coefficient effects) had little impact on the male-female pay gap during the 1970s. but accounted for a small portion of the closing of the male-female pay gap for both blacks and for whites in the 1980s. In contrast, we found no evidence that total industry effects contributed to black-white wage trends in either period.

Suggested Citation

Blau, Francine D. and Kahn, Lawrence M., Race and Gender Pay Differentials (July 1992). NBER Working Paper No. w4120. Available at SSRN: https://ssrn.com/abstract=226808

Francine D. Blau (Contact Author)

Cornell University - Department of Economics ( email )

265 Ives Hall
Ithaca, NY 14853-3901
United States
607-255-4381 (Phone)
607-255-4496 (Fax)

HOME PAGE: http://www.ilr.cornell.edu/directory/fdb4/

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
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CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Poschinger Str. 5
Munich, DE-81679
Germany

IZA Institute of Labor Economics ( email )

P.O. Box 7240
Bonn, D-53072
Germany

German Institute for Economic Research (DIW Berlin) ( email )

Mohrenstra├če 58
Berlin, 10117
Germany

Lawrence M. Kahn

Cornell University - School of Industrial and Labor Relations ( email )

265 Ives Hall
Ithaca, NY 14853-3901
United States
607-255-0510 (Phone)
607-255-4496 (Fax)

CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Poschinger Str. 5
Munich, DE-81679
Germany

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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