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Race and nativity earnings gaps: The role of college networks

Colin Chellman, Dylan Conger and Lesley Turner

Economics of Education Review, 2023, vol. 93, issue C

Abstract: We examine the effect of same-race/same-nativity networks on the annual earnings and employment of college students using data from multiple cohorts of students entering a large public college system merged with state unemployment insurance records. We identify network effects from small changes in same-race/same-nativity shares across cohorts within college-majors. White native-born, Black native-born, and Black immigrant students who belong to cohorts with larger shares of same group peers experience higher earnings and employment in the 10 years after college entry. Benefits to Black immigrants are particularly large: a 1 standard deviation increase in the share of peers who are Black immigrants results in an approximate 2 percent increase in annual earnings. Among Hispanic immigrants, the effects of same-group peers on earnings and educational attainment are negative in the years immediately after college entry, while the effects on employment are large and positive. Hispanic native-born students do not receive earnings gains from a larger potential network.

Keywords: Race and nativity earnings gaps; Higher education; Networks (search for similar items in EconPapers)
JEL-codes: H75 I21 I22 J15 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecoedu:v:93:y:2023:i:c:s0272775723000031

DOI: 10.1016/j.econedurev.2023.102356

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