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