Great Recession and Income Inequality: a State-level Analysis
Journal of Economics, Race, and Policy, 2018, vol. 1, issue 2, 112-125
Abstract This paper analyzes the impact of the Great Recession on the income inequalities of racial and ethnic groups, namely whites, blacks, Hispanics, and Asians, in the USA. As the US economy fell into a deep recession during the late 2000s, the unemployment rate skyrocketed, the stock markets crashed, and incomes significantly declined. Using the American Community Survey from 2005 to 2016, this paper presents novel results that suggest the Great Recession not only increased the overall income inequality in the USA but also within- and between-group income inequalities among racial and ethnic groups. Furthermore, the impact of the recession on inequality is not uniform across these racial and ethnic groups. More specifically, during the Great Recession, inequality among blacks, Hispanics, and Asians has significantly increased, while whites experienced only a moderate increase in income inequality. The findings of this work are both timely and relevant, especially in terms of public policy. Policymakers cognizant of problems associated with within- and between-group inequalities might concentrate on policies alleviating the impact of the recession, especially those geared toward racial and ethnic minorities.
Keywords: Great Recession; Income inequality; Race; Ethnic minorities (search for similar items in EconPapers)
References: Add references at CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
http://link.springer.com/10.1007/s41996-018-0016-6 Abstract (text/html)
Access to the full text of the articles in this series is restricted.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:spr:joerap:v:1:y:2018:i:2:d:10.1007_s41996-018-0016-6
Ordering information: This journal article can be ordered from
https://www.springer ... policy/journal/41996
Access Statistics for this article
Journal of Economics, Race, and Policy is currently edited by Gary A. Hoover
More articles in Journal of Economics, Race, and Policy from Springer
Bibliographic data for series maintained by Sonal Shukla ().