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Market Structure-Driven Discrimination And The Earnings Of Subordinate Managers: An Analysis By Union Density, Richard U. Agesa, Jacqueline Agesa
Market Structure-Driven Discrimination And The Earnings Of Subordinate Managers: An Analysis By Union Density, Richard U. Agesa, Jacqueline Agesa
Economics Faculty Research
Recent work examines the market structure/racial earnings relationship for union and nonunion workers and finds that standardized union earnings protect black workers from market structure–driven earnings discrimination. This study examines the market structure/racial earnings relationship for low and mid-level managers in high- and low-union density industries. Our findings indicate that there is less market structure–driven discrimination of managers in highly unionized industries. We suggest that there is a spillover effect of reduced market structure–driven discrimination of managers in highly unionized industries that stems from standardized, more racially equitable wages of union workers.
Market Structure And Racial Earnings: Evidence From Job Changers, Richard U. Agesa, Jacqueline Agesa, Gary A. Hoover
Market Structure And Racial Earnings: Evidence From Job Changers, Richard U. Agesa, Jacqueline Agesa, Gary A. Hoover
Economics Faculty Research
In his seminal contribution, Gary Becker (1957) suggests that rents in noncompetitive industries provide employers with the latitude to engage in earnings discrimination. Implicit in this theory, is that white workers in noncompetitive industries would capture a disproportion ate share of monopoly rents (excessive wages) relative to their minority counterparts. We utilize wage-change equations to examine earnings shifts for whites and minorities stemming from a job switch to a different market structure. Additionally for each racial group, wage equations of workers before and after the job change are used to calculate difference in-differences estimates of wage change as a result …