This paper provides new evidence on the causal impacts of citywide racial segregation on intergenerational mobility. We use an instrumental variable approach that relies on plausibly exogenous variation in segregation due to the arrangement of railroad tracks in the nineteenth century. Our analysis finds that higher segregation reduces upward mobility for Black children from households across the income distribution and White children from low-income households. Moreover, segregation lowers academic achievement while increasing incarceration and teenage birth rates. An analysis of mechanisms shows that segregation reduces government spending, weakens support for antipoverty policies, and increases racially conservative attitudes among White residents. (JEL I38, J13, J15, J62, N32, N72, R30)

This paper studies differences in unemployment insurance (UI) benefit receipt among White and Black individuals. We combine data containing detailed information on individuals' work history and UI receipt with state-level UI regulations. Black individuals who separate from a job are 30 % less likely to receive UI and receive 46 % fewer benefits than White individuals. These gaps are similar in magnitude among individuals who are likely eligible for UI. Statistical decompositions indicate that 37 % of the gap in UI receipt and 65 % of the gap in UI benefit amount are explained by Black workers' lower pre-unemployment earnings and higher tendency to live in the South.

This paper studies how US local labor markets respond to employment losses that occur during recessions. Following recessions from 1973 through 2009, we find areas that lose more jobs during the recession experience persistent relative declines in employment and population. Most importantly, these local labor markets also experience persistent decreases in the employment-population ratio, earnings per capita, and earnings per worker. Our results imply that limited population responses result in longer-lasting consequences for local labor markets than previously thought and that recessions are followed by persistent reallocation of employment across space. (JEL E32, J21, J31, J61, R23)

This paper studies the impact of the First Great Migration on children. We use the complete-count 1940 Census to estimate selection-corrected place effects on education for children of Black migrants. On average, Black children gained 0.8 years of schooling (12 percent) by moving from the South to the North. Many counties that had the strongest positive impacts on children during the 1940s offer relatively poor opportunities for Black youth today. Opportunities for Black children were greater in places with more schooling investment, stronger labor market opportunities for Black adults, more social capital, and less crime.

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In the 1960s, two landmark statutes-the Equal Pay and Civil Rights Acts-targeted the long-standing practice of employment discrimination against U.S. women. For the next 15 years, the gender gap in median earnings among full-time, full-year workers changed little, leading many scholars to conclude that the legislation was ineffectual. This article revisits this conclusion using two research designs, which leverage (i) cross-state variation in preexisting state equal pay laws and (ii) variation in the 1960 gender gap across occupation-industry-state-group cells to capture differences in the legislation's incidence. Both designs suggest that federal antidiscrimination legislation led to striking gains in women's relative wages, which were concentrated among below-median wage earners. These wage gains offset preexisting labor market forces, which worked to depress women's relative pay growth, resulting in the apparent stability of the gender gap at the median and mean in the 1960s and 1970s. The data show little evidence of short-term changes in women's employment but suggest that firms reduced their hiring and promotion of women in the medium to long term. The historical record points to the key role of the Equal Pay Act in driving these changes.

This paper studies one of the largest spatially targeted redevelopment efforts implemented in the United States: public housing demolitions sponsored by the HOPE VI program. Focusing on Chicago, we study welfare and racial disparities in the impacts of demolitions using a structural model that features a rich set of equilibrium responses. Our results indicate that demolitions had notably heterogeneous effects where welfare decreased for low-income minority households and increased for White households. Counterfactual simulations explore how housing policy mitigates negative effects of demolitions and suggest that increased public housing site redevelopment is the most effective policy for reducing racial inequality.

This paper studies how government transfers respond to changes in local economic activity that emerge during recessions. Local labor markets that experience greater employment losses during recessions face persistent relative decreases in per capita earnings. However, these areas also experience persistent increases in per capita transfers, which offset 16 percent of the earnings loss on average. The increase in transfers is driven by unemployment insurance in the short run, and medical, retirement, and disability transfers in the long run. Our results show that nominally place-neutral transfer programs redistribute considerable sums of money to places with depressed economic conditions.

This paper examines the long-run effects of the 1980-1982 recession on education and income. Using confidential Census data, I estimate difference-in-differences regressions that exploit variation across counties in recession severity and across cohorts in age at the time of the recession. For individuals age 0-10 in 1979, a 10 percent decrease in earnings per capita in their county of birth reduces four-year college degree attainment by 15 percent and earnings in adulthood by 5 percent. Simple calculations suggest that, in aggregate, the 1980-1982 recession led to 1.3-2.8 million fewer college graduates and $66-$139 billion less earned income per year.

Using United States tax return data containing the universe of individual taxable stock sales from 2008 to 2009, we examine which individuals increased their sale of stocks following episodes of market tumult. We find that the increase was disproportionately concentrated among investors in the top 1% and top 0.1% of the overall income distribution, retired individuals and individuals at the very top of the dividend income distribution. Our estimates suggest that, following the day when Lehman Brothers collapsed, taxpayers in the top 0.1% sold $1.7 billion more in stocks than individuals in the bottom 75%. This difference is equal to 89% of average daily sales by taxpayers in the top 0.1%.

This paper estimates the effect of social connectedness on crime across U.S. cities from 1970 to 2009. Migration networks among African Americans from the South generated variation across destinations in the concentration of migrants from the same birth town. Using this novel source of variation, we find that social connectedness considerably reduces murders, rapes, robberies, assaults, burglaries, and motor vehicle thefts, with a 1 standard deviation increase in social connectedness reducing murders by 21% and motor vehicle thefts by 20%. Social connectedness especially reduces murders of adolescents and young adults committed during gang and drug activity.

In the 1960s, landmark legislation targeted the long-standing practice of labor market discrimination against US women. The Equal Pay Act of 1963, an amendment to the Fair Labor Standards Act (FLSA), became the first piece of federal legislation mandating equal pay for equal work. Title VII of the Civil Rights Act followed in 1964 with a provision that more broadly prohibited any sex-based discrimination in employment. Complementing this legislation, the 1961 and 1966 FLSA amendments increased the real minimum wage by 24 percent by 1970 and almost doubled the number of workers it covered, extending the FLSA's provisions to an additional 22.6 million individuals (US Department of Labor 1961, 1970). These changes benefited many workers in some of the economy's lowest-earning industries, such as services, retail trade, and government (that is, schools and hospitals)-industries where many women worked.

The 1960s witnessed landmark legislation that aimed to increase women's wages, including the Equal Pay Act of 1963, Title VII of the Civil Rights Act, and the 1966 amendments to the Fair Labor Standards Act. Although the gender gap in pay changed little at the mean/median during the decade, our distributional analysis shows that women's wages converged sharply on men's below but diverged above the median. However, the bulk of women's relative pay gains are not explained by changes in observed attributes. Our findings suggest an important role for legislation in narrowing the gender gap in the 1960s.

This paper studies how birth town migration networks affected long-run location decisions during historical US migration episodes. We develop a new method to estimate the strength of migration networks for each receiving and sending location. Our estimates imply that when one randomly chosen African American moved from a Southern birth town to a destination county, then 1.9 additional Black migrants made the same move on average. For White migrants from the Great Plains, the average is only 0.4. Networks were particularly important in connecting Black migrants with attractive employment opportunities and played a larger role in less costly moves.

This paper examines the short- and longer-term economic effects of the 1966 Fair Labor Standards Act (FLSA), which increased the national minimum wage to its highest level of the twentieth century and extended coverage to an additional 9.1 million workers. Exploiting differences in the "bite" of the minimum wage owing to regional variation in the standard of living and industry composition, this paper finds that the 1966 FLSA increased wages dramatically but reduced aggregate employment only modestly. However, some evidence shows that disemployment effects were significantly larger among African American men, 40% of whom earned below the new minimum wage.

How Recessions Can Have Long-Lasting Local Efects…Recessions are periods of depressed economic activity, and they coincide with large cuts to employment as the demand for labor falls.Tese declines generally vary across places because of

This paper studies the effects of each U.S. recession since 1973 on local labor markets. We find that recession-induced declines in employment are permanent, suggesting that local areas experience permanent declines in labor demand relative to less-affected areas. Population also falls, primarily due to reduced in-migration, but by less than employment. As a result, recessions generate long-lasting hysteresis: persistent decreases in the employment-to-population ratio and earnings per capita. Changes in the composition of workers explain less than half of local hysteresis. We further show that finite sample bias in vector auto-regressions leads to artificial convergence, which can explain why some previous work finds no evidence of hysteresis in employment rates.