Labour Market Discrimination-Economics Online

Extension idea:

  1. How has racial discrimination varied over time in the US?

(how hourly wages change for each person over time)

Data set: NLSY79

  • Method: random effect OLS
  • Classify the years into different cohorts
  • Only use the data for male (excluding all females)
  • Only use the data for Blacks and Whites (excluding all other races)
  • Standardize the AFQT scores
  • Reshape the data to make one observation represents one individual

(use the command: keep hwage person year afqt race gender

reshape wide hwage, i(person) j(year)

order person gender race afqt hwage* )

Identify: How many individuals? (black/white) (tabulate)

What are their characteristics?

Histogram afqt if gender==1, by(race) (comment on this)

How do their wage change over time?)

  • Dependent variables: log of hourly wage
  • Independent variables: black (dummy), AFQT, age…
  1. How is racial discrimination in the labor market differs between men and women in the U.S.?

Data set: NLSY79

  • Method: random effect OLS
  • Only use the data for Blacks and Whites (excluding all other races)
  • Reshape the data to make one observation represents one individual

keep hwage person year afqt race gender

reshape wide hwage, i(person) j(year)

order person gender race afqt hwage* )

 

  • Dependent variables: log of hourly wage
  • Independent variables: black (dummy), female (dummy), AFQT, age…