Detailed decomposition of change in women’s black-white wage gap, education and health industry, by potential experience, for selected periods, 1979-2015

New entrant women
 1979-85  1985-96  1996-00  2000-07  2007-15  1979-15
Total change in gap (total observables + total unobservables) 2.48% 4.89% -4.81% 0.30% 6.72% 4.71%
Contribution form:
Total observables (quantities + prices) 0.75 3.10 0.36 -1.05 2.85 5.12
Total quantities (education + experience + division & metro) 0.87 1.20 -0.22 -0.53 1.17 1.64
Education 1.35 1.11 0.07 -0.79 -0.44 0.87
Experience -0.53 0.73 0.08 -0.46 1.43 1.03
Division & metro 0.05 -0.64 -0.37 0.73 0.18 -0.27
Total prices (education + experience + division & metro) -0.12 1.90 0.58 -0.52 1.68 3.48
Education 1.64 2.57 -0.33 -0.04 1.15 4.15
Experience -1.02 0.07 0.04 0.40 -0.32 -0.04
Division & metro -0.75 -0.74 0.87 -0.89 0.85 -0.63
Total unobservables (discrimination + wage inequality) 1.73 1.79 -5.17 1.35 3.86 -0.41
“Quantities” (discrimination) 0.98 0.57 -4.69 1.11 2.78 -2.55
“Prices” (wage inequality) 0.75 1.22 -0.49 0.24 1.09 2.13
Experienced women
 1979-85  1985-96  1996-00  2000-07  2007-15  1979-15
Total change in black-gap (total observables + total unobservables) 1.08% 8.97% -2.50% 2.08% 0.93% 11.19%
Contribution form:
Total observables (quantities + prices) 0.35 1.99 0.06 0.20 -0.07 2.93
Total quantities (education + experience + division & metro) -0.52 -0.73 -0.61 1.04 -1.00 -1.32
Education -1.44 0.06 -0.17 0.32 -1.33 -1.28
Experience 0.07 0.01 -0.08 0.04 -0.02 -0.03
Division & metro 0.85 -0.80 -0.36 0.69 0.35 -0.01
Total prices (education + experience + division & metro) 0.87 2.73 0.66 -0.84 0.93 4.26
Education 1.37 3.19 -0.40 -0.27 0.29 3.87
Experience -0.13 0.17 0.19 -0.03 -0.07 0.34
Division & metro -0.37 -0.63 0.86 -0.54 0.72 0.05
Total unobservables (Discrimination + wage inequality) 0.72 6.98 -2.55 1.88 0.99 8.26
“Quantities” (discrimination) 0.75 6.21 -2.42 1.45 0.05 6.41
“Prices” (wage inequality) -0.03 0.77 -0.13 0.43 0.94 1.85

Note: Total unobservables include factors such as racial discrimination, unobservable skills, and wage inequality. Total observables include education, experience, region of residence, and metro status.

Source: EPI analysis of Current Population Survey (CPS) Outgoing Rotation Group microdata

View the underlying data on epi.org.