Explaining Black-White Wage Convergence, 1940-1950: The Role of the Great Compression / Robert A. Margo.

Format:

Book

Author/Creator:

Margo, Robert A.

Contributor:

National Bureau of Economic Research.

Series:

Historical Working Paper Series (National Bureau of Economic Research) no. h0044.

NBER historical working paper series no. h0044

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

Explaining Black-White Wage Convergence, 1940-1950

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1993.

Summary:

The "Great Compression" of the 1940s produced a substantial narrowing in wage differentials in the United States. This paper examines the role of the Great Compression in fostering black-white wage convergence in the 1940s. Using data from the 1940 and 1950 census public use samples, I show that between half and two-thirds of black white wage convergence at the sample means can be attributed to shifts in wage structure associated with the Great Compression. I also demonstrate that, by (temporarily) boosting the incomes of black parents. the Great Compression led to greater increases in schooling levels among black teens between 1940 and 1950 than would have occurred otherwise.

Notes:

Print version record

March 1993.