Report
Technological Change and Racial Wage Gaps.
| Title: | Technological Change and Racial Wage Gaps. |
|---|---|
| Authors: | Dicandia, Vittoria1 |
| Source: | Working Paper Series (Federal Reserve Bank of Cleveland). 3/25/2026, Issue 26-09, p1-46. 46p. |
| Subject Terms: | *Wage differentials, *Job classification, *Labor economics, *Technological innovations, Racial wage gap |
| Abstract: | The wage gap between Black and white Americans narrowed in the 1960s-1970s but stagnated after 1980. This study argues that routine-biased technological change (RBTC) contributed to this stagnation by affecting Black and white male workers differently across the wage distribution. Using new empirical evidence on occupational patterns and wage determinants for these workers, I rationalize these patterns with a novel RBTC theoretical framework. Contrary to expectations, Black workers’ employment in routine-intensive occupations increased, while white workers experienced a significant decline. Applying the Oaxaca-RIF decomposition, I show that occupational sorting amplifies wage gaps, particularly at the lower end of the wage distribution. These findings, interpreted through the novel theoretical framework, offer new insights into the mechanisms driving racial wage gaps at the close of the twentieth century. [ABSTRACT FROM AUTHOR] |
| Copyright of Working Paper Series (Federal Reserve Bank of Cleveland) is the property of Federal Reserve Bank of Cleveland and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.) | |
| Database: | Business Source Index |
| FullText | Text: Availability: 0 |
|---|---|
| Header | DbId: bsx DbLabel: Business Source Index An: 192572159 RelevancyScore: 1427 AccessLevel: 6 PubType: Report PubTypeId: report PreciseRelevancyScore: 1426.61413574219 |
| IllustrationInfo | |
| Items | – Name: Title Label: Title Group: Ti Data: Technological Change and Racial Wage Gaps. – Name: Author Label: Authors Group: Au Data: <searchLink fieldCode="AR" term="%22Dicandia%2C+Vittoria%22">Dicandia, Vittoria</searchLink><relatesTo>1</relatesTo> – Name: TitleSource Label: Source Group: Src Data: <searchLink fieldCode="JN" term="%22Working+Paper+Series+%28Federal+Reserve+Bank+of+Cleveland%29%22">Working Paper Series (Federal Reserve Bank of Cleveland)</searchLink>. 3/25/2026, Issue 26-09, p1-46. 46p. – Name: Subject Label: Subject Terms Group: Su Data: *<searchLink fieldCode="DE" term="%22Wage+differentials%22">Wage differentials</searchLink><br />*<searchLink fieldCode="DE" term="%22Job+classification%22">Job classification</searchLink><br />*<searchLink fieldCode="DE" term="%22Labor+economics%22">Labor economics</searchLink><br />*<searchLink fieldCode="DE" term="%22Technological+innovations%22">Technological innovations</searchLink><br /><searchLink fieldCode="DE" term="%22Racial+wage+gap%22">Racial wage gap</searchLink> – Name: Abstract Label: Abstract Group: Ab Data: The wage gap between Black and white Americans narrowed in the 1960s-1970s but stagnated after 1980. This study argues that routine-biased technological change (RBTC) contributed to this stagnation by affecting Black and white male workers differently across the wage distribution. Using new empirical evidence on occupational patterns and wage determinants for these workers, I rationalize these patterns with a novel RBTC theoretical framework. Contrary to expectations, Black workers’ employment in routine-intensive occupations increased, while white workers experienced a significant decline. Applying the Oaxaca-RIF decomposition, I show that occupational sorting amplifies wage gaps, particularly at the lower end of the wage distribution. These findings, interpreted through the novel theoretical framework, offer new insights into the mechanisms driving racial wage gaps at the close of the twentieth century. [ABSTRACT FROM AUTHOR] – Name: AbstractSuppliedCopyright Label: Group: Ab Data: <i>Copyright of Working Paper Series (Federal Reserve Bank of Cleveland) is the property of Federal Reserve Bank of Cleveland and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract.</i> (Copyright applies to all Abstracts.) |
| PLink | https://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=bsx&AN=192572159 |
| RecordInfo | BibRecord: BibEntity: Identifiers: – Type: doi Value: 10.26509/frbc-wp-202609 Languages: – Code: eng Text: English PhysicalDescription: Pagination: PageCount: 46 StartPage: 1 Subjects: – SubjectFull: Wage differentials Type: general – SubjectFull: Job classification Type: general – SubjectFull: Labor economics Type: general – SubjectFull: Technological innovations Type: general – SubjectFull: Racial wage gap Type: general Titles: – TitleFull: Technological Change and Racial Wage Gaps. Type: main BibRelationships: HasContributorRelationships: – PersonEntity: Name: NameFull: Dicandia, Vittoria IsPartOfRelationships: – BibEntity: Dates: – D: 25 M: 03 Text: 3/25/2026 Type: published Y: 2026 Identifiers: – Type: issn-print Value: 25737945 Numbering: – Type: issue Value: 26-09 Titles: – TitleFull: Working Paper Series (Federal Reserve Bank of Cleveland) Type: main |
| ResultId | 1 |