Search Results
Working Paper
The Impact of Racial Segregation on College Attainment in Spatial Equilibrium
We incorporate race into an overlapping-generations spatial-equilibrium model with neighborhood spillovers. The model incorporates race in three ways: (i) a Black-White wage gap, (ii) an amenity externality---households care about the racial composition of their neighbors---and (iii) an additional barrier to moving for Black households. These forces quantitatively account for all of the racial segregation and 80% of the Black-White gap in college attainment in the data for the St. Louis metro area. Counterfactual exercises show that all three forces are quantitatively important. The presence ...
Discussion Paper
Racial Disparities in the Labor Market
Current research tells us that racial gaps in wages, employment, and labor participation have widened over recent decades. Many factors contribute to these disparities, including difficult to measure dynamics like discrimination, criminal conviction history, and skills gaps.
Working Paper
Racial Gaps in Labor Market Outcomes in the Last Four Decades and over the Business Cycle
We examine racial disparities in key labor market outcomes for men and women over the past four decades, with a special emphasis on their evolution over the business cycle. Blacks have substantially higher and more cyclical unemployment rates than whites, and observable characteristics can explain very little of this differential, which is importantly driven by a comparatively higher risk of job loss. In contrast, the Hispanic-white unemployment rate gap is comparatively small and is largely explained by lower educational attainment of (mostly foreign-born) Hispanics. Regarding labor force ...
Residential Segregation and the Black-White College Gap
Using an economic model, researchers find that racial wage disparities, the amenity externality and racial barriers to moving could help explain the Black-white gap in college attainment.
Working Paper
The Impact of Racial Segregation on College Attainment in Spatial Equilibrium
This paper seeks to understand the forces that maintain racial segregation and the implications for the Black-White gap in college attainment. We incorporate race into an overlapping-generations spatial-equilibrium model with neighborhood spillovers. The model incorporates race in three ways: (i) a Black-White wage gap, (ii) an amenity externality—households care about the racial composition of their neighbors—and (iii) an additional barrier to moving for Black households. These forces quantitatively account for all of the racial segregation and 80% of the Black-White gap in college ...
Journal Article
From Gaps to Growth: Equity as a Path to Prosperity
The pandemic has shined a vivid light on the deep roots of economic inequity, showing that the rules are not the same for everyone. Persistent, unfair gaps in opportunity and well-being across different groups in our society limit people’s potential. Eliminating these inequities could substantially boost GDP and increase the economy’s long-run rate of growth, leading to greater prosperity for all.
Working Paper
Racial Disparities in Frontline Workers and Housing Crowding during COVID-19: Evidence from Geolocation Data
We document that racial disparities in COVID-19 in New York City stem from patterns of commuting and housing crowding. During the initial wave of the pandemic, we find that out-of-home activity related to commuting is strongly associated with COVID-19 cases at the ZIP Code level and hospitalization at an individual level. After layoffs of essential workers decreased commuting, we find case growth continued through household crowding. A larger share of individuals in crowded housing or commuting to essential work are Black, Hispanic, and lower-income. As a result, structural inequalities, ...
Speech
The Economic Outlook: Getting Back to "More Like Normal"
Remarks at One Hundred Black Men of New York (delivered via videoconference).
Working Paper
The Impact of Racial Segregation on College Attainment in Spatial Equilibrium
This paper seeks to understand the forces that maintain racial segregation and the Black-White gap in college attainment, as well as their interactions with place-based policy interventions. We incorporate race into an overlapping-generations spatial-equilibrium model with neighborhood spillovers. Race matters due to: (i) a Black-White wage gap, (ii) amenity externalities---households care about their neighborhood's racial composition---and (iii) additional barriers to moving for Black households. We find that these forces account for 71% of the racial segregation and 64% of the Black-White ...
Discussion Paper
What Drove Racial Disparities in the Paycheck Protection Program?
Numerous studies of the Paycheck Protection Program (PPP), which provided loans to small businesses during the COVID-19 pandemic, have documented racial disparities in the program. Because publicly available PPP data only include information on approved loans, prior work has largely been unable to assess whether these disparities were driven by borrower application behavior or by lender approval decisions. In this post, which is based on a related Staff Report and NBER working paper, we use the Federal Reserve’s 2020 Small Business Credit Survey to examine PPP application behavior and ...