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The myth of racial discrimination in pay in the United States

Satoshi Kanazawa
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Satoshi Kanazawa: Interdisciplinary Institute of Management, London School of Economics and Political Science, Houghton Street, London WC2A 2AE, UK, Postal: Interdisciplinary Institute of Management, London School of Economics and Political Science, Houghton Street, London WC2A 2AE, UK

Managerial and Decision Economics, 2005, vol. 26, issue 5, pages 285-294

Abstract: The analyses of the General Social Survey data from 1974 to 2000 replicate earlier findings from the National Longitudinal Survey of Youth that racial disparity in earnings disappears once cognitive ability is controlled for. The results are robust across many alternative specifications, and further show that blacks receive significantly greater returns to their cognitive ability than nonblacks. The trend data show that there was no sign of racial discrimination in the United States as early as 1970s. The analyses call into question the necessity of and justification for preferential treatment of ethnic minorities. Copyright © 2005 John Wiley & Sons, Ltd.

Date: 2005
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