There is evidence that the income gap persists not only due to discrimination but also because of other factors. For instance, McIntosh et al. (2020) argue that one of the major factors behind the income gap between blacks and whites is unequal inheritances. Consequently, the latter group has more opportunities than the former due to accumulated family wealth that passes from generation to generation. Additionally, African Americans who belong to the middle and upper classes tend to help their family members and neighbors financially more often than white Americans (McIntosh et al., 2020). Therefore, it is seen that discrimination is not the only major reason for persisting income gap between black and white people; rather, it can be also explained by cultural and historical background.
The LFPRs for men have declined from 85.5% in January 1950 to 67.4% in January 2022. Conversely, this rate has increased from 32.5% to 56.6% during the same period for women. It can be explained by the aging population and by the increased labor equality between the sexes since 1950.
As a result of the abovementioned trends, the overall LFPR has increased from 58.2% in January 1950 to 61.9% in January 2022.
In January 1972, the LFPRs for white and black women were 42.7% and 50.9%, whereas, in January 2022, the rates were 57% and 61.9% accordingly. Thus, at the beginning of the period, the gap in LFPR was 8.2% in 1950, while in January 2022, it reduced to 4.9%. Such a trend can be explained by the fact that the perception that women should work has become a new norm also for white females as it has long been for black women.
In January 2022, the overall employment-population ratio was 59.1%, while during the same period, LFPR was 61.9%. The former is lower than the latter because the employment-population ratio includes only the employed percentage of the U.S. citizens, whereas LFPR also encompasses those currently looking for a job.
The labor participation gap between sexes has reduced significantly since 1954.
The labor participation of both black and white men has reduced, but the gap between the two groups remained the same.
The labor participation of both black and white men has increased, but the gap between the two groups has reduced.
The LFPRs for both Asian men and women has slightly reduced since 2003.
Reference
McIntosh, K., Moss, E., Nunn, R., & Shambaugh, J. (2020). Examining the black-white wealth gap. Brookings. Web.