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February 25 Notes

by: Eunji Cho

February 25 Notes Econ 104

Eunji Cho
GPA 3.8
Introduction to Macroeconomics
Robert Pollin

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Inequality in the work force: between races and genders
Introduction to Macroeconomics
Robert Pollin
Class Notes
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This 3 page Class Notes was uploaded by Eunji Cho on Friday February 27, 2015. The Class Notes belongs to Econ 104 at University of Massachusetts taught by Robert Pollin in Spring2015. Since its upload, it has received 48 views.


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Date Created: 02/27/15
Notes for February 25 Economics 104 Racial Gender Inequality Large disparities in terms of all basic measures income wealth poverty unemployment o AfricanAmericans are signi cantly disadvantaged 0 Similar difference between men and women Possible FactorsReasons 0 Legacy of past not yet overcome Residual from past discrimination o Ongoing discrimination 0 Differences in capacity it is more difficult to get a good job 0 Differences in abilities re ected in differences in income Is it good for employers to discriminate o No They re there to look out for themselves Adam Smith Hire the most able person regardless of race or gender The purpose of businesses is to make money which they will make less of if they discriminate WhiteBlack Differences in Income Unemployment and Poverty White average household income stands at 55412 while AfricanAmerican household income is at 32229 AfricanAmerican unemployment rate is more than double of that of White s 121 vs 57 AfricanAmerican poverty rate is also more than double of that of White s 276 vs 128 Improvement or lack of it in BlackWhite Income Differentials Long term reduction in minimum wage o No oor for lowpaid workers as it was 30 years ago Weakening of labor unions 0 Correlation of the decrease in unions and the increase in inequality Mass incarceration of Black men and exclusion from community 0 Incredible high rate Race affects reward to having better resume 0 Among whites people with credentials got 27 more callbacks than people with less credentials 0 Among AfricanAmericans credentials make almost no difference Gender Inequality Unpaid household labor 0 Women do 23 of the world s work paid unpaid for 5 of the income RMW p70 0 The total amounts to 11 trillion worldwide and 14 trillion in US 1995 Should women get more 0 UN Women should get more of these since they work more unpaid Property rights access to credit tax incentives child care terms of divorce settlements 0 Share labor with men 0 Reduce pay differentials for market work Is paying for unpaid labor 0 A waste 0 A measure of raising taxes Should we do nothing 0 Paycheck Fairness Act by Christina Hoff Sommers Pay discrimination is an artifact of statistics that doesn t exist 0 It is due to different choices elds balances between home and work Trying to solve this will create a complete bureaucratic mess How would we identify pay discrimination Why just between men and women


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