Detailed decomposition of change in experienced black-white wage gap, by gender and educational attainment for selected periods, 1979—2015

All experienced workers (11  to 20 years of work experience)
Men Women
 1979-85  1985-96  1996-00  2000-07  2007-15  1979-15  1979-85  1985-96  1996-00  2000-07  2007-15  1979-15
Total change gap (total observables + total unobservables) 2.55% 2.06% -1.79% 2.55% -0.33% 4.08% 2.32% 5.70% -0.76% 1.72% 2.70% 10.82%
Contribution from:                        
Total observables (quantities + prices) 1.88 -0.11 -0.80 -0.50 0.76 -0.48 1.76 1.41 -0.56 0.84 0.75 3.28
Total quantities (education + experience + region & metro) -1.09 -2.22 -0.86 -0.45 -0.15 -5.05 1.14 0.19 -0.75 1.06 0.16 1.14
Education -1.33 -2.23 -0.15 -0.73 -0.52 -4.77 -0.28 0.03 0.51 0.40 -0.47 0.79
Experience 0.00 0.16 -0.14 -0.05 0.09 -0.01 0.71 0.08 -0.63 0.33 0.31 0.17
Region & metro 0.24 -0.15 -0.57 0.34 0.28 -0.27 0.71 0.08 -0.63 0.33 0.31 0.17
Total prices (education + Experience + region & metro) 2.97 2.12 0.06 -0.06 0.91 4.57 0.62 1.22 0.19 -0.22 0.59 2.14
Education 2.74 2.18 0.23 0.22 0.21 4.65 1.16 2.38 -0.21 0.49 -0.06 3.68
Experience -0.09 0.18 0.03 0.00 0.00 0.21 -0.27 -0.58 0.20 -0.35 0.33 -0.77
Region & metro 0.33 -0.24 -0.20 -0.28 0.70 -0.29 -0.27 -0.58 0.20 -0.35 0.33 -0.77
Total unobservables (discrimination + wage inequality) 0.67 2.17 -0.99 3.05 -1.08 4.56 0.56 4.29 -0.20 0.88 1.95 7.54
“Quantities” (discrimination) -1.41 2.57 -1.19 2.21 -2.84 1.56 0.17 3.97 -0.18 0.44 1.00 5.80
“Prices” (wage inequality) 2.09 -0.40 0.20 0.84 1.76 3.00 0.39 0.33 -0.01 0.44 0.95 1.74
High school only experienced workers
Men Women
 1979-85  1985-96  1996-00  2000-07  2007-15  1979-15  1979-85  1985-96  1996-00  2000-07  2007-15  1979-15
Total change in gap (total observables + total unobservables) 2.32% 1.19% -2.85% 3.01% -0.23% 2.12% 1.09% 5.28% -1.86% 1.82% 3.64% 8.86%
Contribution from:                        
Total observables (quantities + prices) 0.55 0.50 -0.78 -0.07 1.14 0.35 0.70 0.24 -0.10 0.12 0.77 1.11
Total quantities (education + experience + region & metro) 0.08 0.04 -0.52 0.12 0.38 -0.28 0.77 0.06 -0.35 0.06 0.08 0.06
Experience -0.23 0.32 -0.13 -0.13 0.12 0.01 -0.11 0.02 0.02 -0.04 -0.05 -0.07
Region & metro 0.31 -0.28 -0.39 0.25 0.26 -0.30 0.88 0.04 -0.37 0.10 0.13 0.14
Total prices (education + experience + region & metro) 0.47 0.46 -0.27 -0.19 0.76 0.64 -0.07 0.17 0.26 0.06 0.69 1.04
Experience 0.19 0.26 -0.02 0.03 -0.11 0.36 -0.03 0.52 -0.08 0.33 0.00 0.93
Region & metro 0.28 0.21 -0.25 -0.22 0.87 0.28 -0.04 -0.35 0.33 -0.27 0.69 0.11
Total unobservables (discrimination + wage inequality) 1.76 0.69 -2.07 3.08 -1.37 1.77 0.39 5.04 -1.76 1.69 2.88 7.75
“Quantities” (discrimination) -0.40 1.85 -2.02 2.54 -2.94 0.61 -0.27 4.72 -1.47 1.32 1.92 6.39
“Prices” (wage inequality) 2.17 -1.17 -0.05 0.54 1.57 1.16 0.67 0.33 -0.29 0.38 0.95 1.36
Bachelor’s degree only experienced workers
Men Women
 1979-85  1985-96  1996-00  2000-07  2007-15  1979-15  1979-85  1985-96  1996-00  2000-07  2007-15  1979-15
Total change in gap (total observables + total unobservables) 2.88% 1.31% -0.29% 2.57% -1.31% 5.07% 4.65% 2.15% -1.16% 1.01% 1.75% 5.57%
Contribution from:                        
Total observables (quantities + prices) 1.58 -1.39 -0.41 0.19 1.51 -0.40 0.57 -1.40 -0.34 -0.32 1.71 -1.33
Total quantities (education + experience + region & metro) 0.66 -0.87 -0.25 0.25 0.70 -0.39 0.78 -0.77 -0.64 0.20 0.57 -0.91
Experience (age) -0.43 -0.51 0.27 -0.03 0.18 -0.37 0.04 -0.40 0.35 0.00 -0.12 -0.03
Region & metro 1.09 -0.37 -0.53 0.28 0.52 -0.02 0.74 -0.38 -0.99 0.20 0.69 -0.88
Total prices (education + experience + region & metro) 0.92 -0.52 -0.16 -0.07 0.82 -0.01 -0.20 -0.62 0.29 -0.52 1.14 -0.42
Experience (age) 0.16 -0.17 0.00 0.10 0.09 0.05 0.12 -0.30 0.21 -0.02 0.18 0.08
Region & metro 0.76 -0.35 -0.15 -0.17 0.72 -0.06 -0.32 -0.33 0.08 -0.50 0.96 -0.50
Total unobservables (discrimination + wage inequality) 1.31 2.7 0.12 2.38 -2.82 5.47 4.07 3.55 -0.82 1.33 0.04 6.90
“Quantities” (discrimination) -0.75 2.55 -0.58 1.33 -4.98 0.63 4.62 3.10 -0.90 1.02 -0.66 5.67
“Prices” (wage inequality) 2.06 0.15 0.71 1.05 2.16 4.84 -0.54 0.45 0.08 0.31 0.70 1.23
Bachelor’s degree or more education experienced workers
Men Women
 1979-85  1985-96  1996-00  2000-07  2007-15  1979-15  1979-85  1985-96  1996-00  2000-07  2007-15  1979-15
Total change in gap (total observables + total unobservables) 7.80% 5.09% -2.48% 3.60% -3.48% 8.97% 4.48% 4.31% -0.17% -0.07% 1.91% 8.33%
Contribution from:                        
Total observables (quantities + prices) 2.05 0.27 -0.92 -0.65 0.96 -0.25 1.04 -0.81 -0.42 -0.98 0.79 -1.86
Total quantities (education + experience + region & metro) 1.45 -0.08 -0.67 -0.19 0.02 -0.61 1.13 -0.67 -0.69 -0.03 -0.25 -1.46
Education -1.10 -0.04 0.75 -0.31 -0.57 -0.22 -0.28 0.27 0.94 -0.16 -0.73 0.92
Experience (age) 1.10 0.04 -0.75 0.31 0.57 0.22 0.28 -0.27 -0.94 0.16 0.73 -0.92
Region & metro 1.45 -0.08 -0.67 -0.19 0.02 -0.61 1.13 -0.67 -0.69 -0.03 -0.25 -1.46
Total prices (education + experience + region & metro) 0.60 0.36 -0.25 -0.46 0.94 0.36 -0.09 -0.14 0.27 -0.95 1.04 -0.40
Education -0.36 0.13 0.01 0.63 -0.96 0.22 -0.07 0.26 -0.34 1.03 -1.00 0.49
Experience (age) 0.36 -0.13 -0.01 -0.63 0.96 -0.22 0.07 -0.26 0.34 -1.03 1.00 -0.49
Region & metro 0.60 0.36 -0.25 -0.46 0.94 0.36 -0.09 -0.14 0.27 -0.95 1.04 -0.40
Total unobservables (discrimination + wage inequality) 5.75 4.82 -1.55 4.25 -4.44 9.21 3.44 5.12 0.25 0.91 1.12 10.20
“Quantities” (discrimination) 4.88 4.45 -2.17 3.38 -6.52 5.08 4.04 4.98 0.08 0.65 0.32 9.27
“Prices” (wage inequality) 0.86 0.37 0.62 0.87 2.08 4.13 -0.61 0.14 0.17 0.26 0.80 0.94

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. Change in gaps are of adjusted average hourly wages.

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

View the underlying data on epi.org.