Racial and Ethnic Inequality and the China Shock

Lisa B. Kahn, Lindsay Oldenski and Geunyong Park

No 30646, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Minority workers tend to be disproportionately harmed by negative economic shocks. Indeed, we show that Hispanic populations experienced worse employment losses due to import competition from China, relative to whites, largely due to lower education levels. In contrast, Black-white employment and wage gaps actually narrowed due to relative growth in non-manufacturing sectors. We show that Black workers were less attached to manufacturing by 2000, compared to whites, and were therefore more poised to take advantage of China shock induced reallocation to services. The lasting negative impacts of the China shock on exposed communities were primarily driven by white workers.

JEL-codes: F16 J15 (search for similar items in EconPapers)
Date: 2022-11
New Economics Papers: this item is included in nep-cna, nep-lab and nep-ure
Note: ITI LS PE
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Citations: View citations in EconPapers (8)

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