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Estimating the Potential Impact of Combined Race and Ethnicity Reporting on Long-Term Earnings Statistics
September 2024
Working Paper Number:
CES-24-48
We use place of birth information from the Social Security Administration linked to earnings data from the Longitudinal Employer-Household Dynamics Program and detailed race and ethnicity data from the 2010 Census to study how long-term earnings differentials vary by place of birth for different self-identified race and ethnicity categories. We focus on foreign-born persons from countries that are heavily Hispanic and from countries in the Middle East and North Africa (MENA). We find substantial heterogeneity of long-term earnings differentials within country of birth, some of which will be difficult to detect when the reporting format changes from the current two-question version to the new single-question version because they depend on self-identifications that place the individual in two distinct categories within the single-question format, specifically, Hispanic and White or Black, and MENA and White or Black. We also study the USA-born children of these same immigrants. Long-term earnings differences for the 2nd generation also vary as a function of self-identified ethnicity and race in ways that changing to the single-question format could affect.
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Examining Racial Identity Responses Among People with Middle Eastern and North African Ancestry in the American Community Survey
March 2024
Working Paper Number:
CES-24-14
People with Middle Eastern and North African (MENA) backgrounds living in the United States are defined and classified as White by current Federal standards for race and ethnicity, yet many MENA people do not identify as White in surveys, such as those conducted by the U.S. Census Bureau. Instead, they often select 'Some Other Race', if it is provided, and write in MENA responses such as Arab, Iranian, or Middle Eastern. In processing survey data for public release, the Census Bureau classifies these responses as White in accordance with Federal guidance set by the U.S. Office of Management and Budget. Research that uses these edited public data relies on limited information on MENA people's racial identification. To address this limitation, we obtained unedited race responses in the nationally representative American Community Survey from 2005-2019 to better understand how people of MENA ancestry report their race. We also use these data to compare the demographic, cultural, socioeconomic, and contextual characteristics of MENA individuals who identify as White versus those who do not identify as White. We find that one in four MENA people do not select White alone as their racial identity, despite official guidance that defines 'White' as people having origins in any of the original peoples of Europe, the Middle East, or North Africa. A variety of individual and contextual factors are associated with this choice, and some of these factors operate differently for U.S.-born and foreign-born MENA people living in the United States.
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WHITE-LATINO RESIDENTIAL ATTAINMENTS AND SEGREGATION
IN SIX CITIES: ASSESSING THE ROLE OF MICRO-LEVEL FACTORS
January 2016
Working Paper Number:
CES-16-51
This study examines the residential outcomes of Latinos in major metropolitan areas using new methods to connect micro-level analyses of residential attainments to overall patterns of segregation in the metropolitan area. Drawing on new formulations of standard measures of evenness, we conduct micro-level multivariate analyses using the restricted-use census microdata files to predict segregation-relevant neighborhood outcomes for individuals by race. We term the dependent variables segregation-relevant neighborhood outcomes because the differences in average outcomes for each group on these variables determine the values of the aggregate measures of evenness. This approach allows me to use standardization and components analysis to quantitatively assess the separate contributions that differences in social characteristics and differences in rates of return make towards determining the overall disparity in residential outcomes ' that is, the level of segregation ' between Whites and Latinos. Based on our micro-level residential attainment analyses we find that for Latinos, acculturation and gains in socioeconomic status are associated with greater residential contact with Whites, in agreement with spatial assimilation theory, which promotes lower segregation. However, our standardization and components analyses reveals that a substantial portion of White-Latino disparities in residential contact with Whites can be attributed to differences in rates of return; that is White-Latino differences in the ability to translate acculturation and gains in socioeconomic status into more residential contact with Whites. This is further elaborated upon by assessing the changes in contact with Whites for Whites and Latinos after manipulating single variables while holding all others constant. This can be interpreted as the role of discrimination which is emphasized by place stratification theory. Therefore we conclude that while members of minority groups make gains in residential outcomes that reduce segregation by attaining parity with Whites on social characteristics as spatial assimilation theory would predict, a substantial disparity will persist as Latinos cannot translate those gains into greater contact with Whites at the rate that Whites can. At the aggregate level of analysis, this means that White-Latino segregation remains substantial even when groups are equalized on social and economic characteristics.
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Likely Transgender Individuals in U.S. Federal Administrative Records and the 2010 Census
May 2015
Working Paper Number:
carra-2015-03
This paper utilizes changes to individuals''' first names and sex-coding in files from the Social Security Administration (SSA) to identify people likely to be transgender. I first document trends in these transgender-consistent changes and compare them to trends in other types of changes to personal information. I find that transgender-consistent changes are present as early as 1936 and have grown with non-transgender consistent changes. Of the likely transgender individuals alive during 2010, the majority change their names but not their sex-coding. Of those who changed both their names and their sex-coding, most change both pieces of information concurrently, although over a quarter change their name first and their sex-coding 5-6 years later. Linking individuals to their 2010 Census responses shows my approach identifies more transgender members of racial and ethnic minority groups than other studies using, for example, anonymous online surveys. Finally, states with the highest proportion of likely transgender residents have state-wide laws prohibiting discrimination on the basis of gender identity or expression. States with the lowest proportion do not.
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The Emergence of Wage Discrimination in U.S. Manufacturing
June 2011
Working Paper Number:
CES-11-18
This paper examines the hypothesis that wage discrimination emerged at the beginning of the twentieth century. I test for wage discrimination by estimating the female-male productivity ratio from samples of manufacturing firms in the northeast, and then comparing the estimated productivity ratio to the wage ratio. I find that women did not face wage discrimination in manufacturing during the nineteenth century. In 1900 there was wage discrimination against women in white-collar jobs, but not in blue-collar jobs. Wage discrimination persisted, and in 2002 the female-male wage ratio was less than the productivity ratio.
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Spatial Influences on the Employment of U.S. Hispanics: Spatial Mismatch, Discrimination, or Immigrant Networks?
January 2009
Working Paper Number:
CES-09-03
Employment rates of Hispanic males in the United States are considerably lower than employment rates of whites. In the data used in this paper, the Hispanic male employment rate is 61 percent, compared with 83 percent for white men.1 The question of the employment disadvantage of Hispanic men likely has many parallels to the question of the employment disadvantage of black men, where factors including spatial mismatch, discrimination, and labor market networks have all received attention as contributing factors. However, the Hispanic disadvantage has been much less studied, and the goal of this paper is to bridge that gap. To that end, we present evidence that tries to assess which of the three factors listed above appears to contribute to the lower employment rate of Hispanic males. We focus in particular on immigrant Hispanics and Hispanics who do not speak English well.
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A Unified Framework for Measuring Preferences for Schools and Neighborhoods
October 2007
Working Paper Number:
CES-07-27
This paper develops a comprehensive framework for estimating household preferences for school and neighborhood attributes in the presence of sorting. It embeds a boundary discontinuity design in a heterogeneous model of residential choice to address the endogeneity of school and neighborhood attributes. The model is estimated using restricted-access Census data from a large metropolitan area, yielding a number of new results. First, households are willing to pay less than one percent more in house prices ' substantially lower than previous estimates ' when the average performance of the local school increases by five percent. Second, much of the apparent willingness to pay for more educated and wealthier neighbors is explained by the correlation of these sociodemographic measures with unobserved neighborhood quality. Third, neighborhood race is not capitalized directly into housing prices; instead, the negative correlation of neighborhood race and housing prices is due entirely to the fact that blacks live in unobservably lower quality neighborhoods. Finally, there is considerable heterogeneity in preferences for schools and neighbors: in particular, we find that households prefer to selfsegregate on the basis of both race and education.
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Spatial Mismatch or Racial Mismatch?
June 2007
Working Paper Number:
CES-07-16
We contrast the spatial mismatch hypothesis with what we term the racial mismatch hypothesis - that the problem is not a lack of jobs, per se, where blacks live, but a lack of jobs into which blacks are hired, whether because of discrimination or labor market networks in which race matters. We first report new evidence on the spatial mismatch hypothesis, using data from Census Long-Form respondents. We construct direct measures of the presence of jobs in detailed geographic areas, and find that these job density measures are related to employment of black male residents in ways that would be predicted by the spatial mismatch hypothesis - in particular that spatial mismatch is primarily an issue for low-skilled black male workers. We then look at racial mismatch, by estimating the effects of job density measures that are disaggregated by race. We find that it is primarily black job density that influences black male employment, whereas white job density has little if any influence on their employment. This evidence implies that space alone plays a relatively minor role in low black male employment rates.
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What Drives Racial Segregation? New Evidence Using Census Microdata
October 2002
Working Paper Number:
CES-02-26
Residential segregation on the basis of race is widespread and has important welfare consequences. This paper sheds new light on the forces that drive observed segregation patterns. Making use of restricted micro-Census data from the San Francisco Bay Area and a new measurement framework, it assesses the extent to which the correlation of race with other household characteristics, such as income, education and immigration status, can explain a significant portion of observed racial segregation. In contrast to the findings of the previous literature, which has been hampered by serious data limitations, our analysis indicates that individual household characteristics can explain a considerable fraction of segregation by race. Taken together, we find that the correlation of race with other household attributes can explain almost 95 percent of segregation for Hispanic households, over 50 percent for Asian households, and approximately 30 percent for White and Black households. Our analysis also indicates that different factors drive the segregation of different races. Language explains a substantial proportion - more than 30 percent - of Asian and Hispanic segregation, education explains a further 20 percent of Hispanic segregation, while income is the most important non-race household characteristic for Black households, explaining around 10 percent of Black segregation.
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Interfirm Segregation and the Black/White Wage Gap
August 1996
Working Paper Number:
CES-96-06
This paper studies interfirm racial segregation in two newly developed firm-level databases. Within the representative MSA, we find that the interfirm distribution of black and white workers is close to what would be implied by the random assignment of workers to firms. However, we also find that black workers are systematically clustered in "black" employers where managers, owners, and customers are also black. These facts may be reconciled by the facts that a) there are not enough black employers to generate much segregation and that b) perhaps other difficult-to-identify forces serve to systematically integrate black and white workers. Finally, we find that the black/white wage gap is entirely a within-firm phenomenon, as blacks do not work in firms that pay low wages on average.
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