Inequality among the Disadvantaged? Racial/Ethnic Disparities in Earnings among Young Men and Women without a College Education

Abstract

Despite the rapid expansion of higher education, many young adults still enter the labor market without a college education. However, little research has focused on racial/ethnic earnings disadvantages faced by non-college-educated youth. We analyze the restricted-use data from the High School Longitudinal Study of 2009 to examine racial/ethnic earnings disparities among non-college-educated young men and women in their early 20s as of 2016, accounting for differences in premarket factors and occupation with an extensive set of controls. Results suggest striking earnings disadvantages for Black men relative to white, Latinx, and Asian men. Compared to white men, Latinx and Asian men do not earn significantly less, yet their earnings likely differ substantially by ethnic origin. While racial/ethnic earnings gaps are less prominent among women than men, women of all racial/ethnic groups have earnings disadvantages compared to white men. The results call for future studies into the heterogeneity within racial/ethnic groups and the intersectionality of race/ethnicity and gender among non-college-educated young adults.