Explaining Post-1964 Earnings Gains by Black Women: Race or Sex?

Abstract

This article examines the earnings position of black females relative to white males for the post-1964 period. It finds that over 70 percent of the 1965–78 growth in black female relative median earnings remains after controlling for previous trends, education, and cyclical and labor supply changes. For full-time, year-round workers, the post-1964 trend independently implies a growth rate about 50 percent higher than that actually observed. Approximately one-half of the gains are attributable to race and the rest to the interaction of race and sex. The study finds no support for the censoring hypothesis that allocates a substantial portion of the growth to labor supply decreases. While it suggests occupational mobility to be nonextraneous in the earnings equation, the author argues that the black female now faces a mobility constraint more formidable than previously.