??According to U.S. Census Bureau (2017a), women of color (Hispanic, Indian, Alaska Native, and African American, others…) received lower median earnings. However, the data shows the pay gap between black and Hispanic women were narrower than the difference between white and Asian women to men. Specifically, according to the U.
S. Census Bureau’s Current Population Survey Annual Social and Economic Supplement Table (2017), Black women’s earnings dropped by 1.3 percent between 2015 and 2016. However, when a comparison of gender earnings are measured using White men’s earnings, the data show a marked disadvantage for Hispanic and Black women. According to the data,” Hispanic women earned just 54.4 percent (unchanged from 2015) and Black women earned just 62.
5 percent (down from 63.3 percent in 2015) of White men’s median annual earnings in 2016″ (U.S. Census, 2017). In fact, Hispanic women ‘s income fell below the qualifying income threshold for eligibility for food stamps for a family of four; in 2016 this was $31,641 per year, 130 percent of the federal poverty threshold for a family of four (U.
S. Census, 2017). ??While the gap is narrower for women of color, the racial trends of income inequality are ever-present. The decline in racial disparities for both genders declined between 1970 and 1980 but fell at a slower rate for women until 2000 (Mandel and Semyonov, 2016). The new millennium reversed some of the gains and is attributable to economic discrimination. Economics is, according to Gwartney et al.
, (2018), is “the study of human behavior, with a particular focus on human decision-making.” Therefore, economic discrimination occurs when decision makers decide to treat minorities differently than their white or male counterparts. They employ methods of wages variances, access to high-quality education, specialized training, and limited opportunities (Gwartney et al.
, 2018). ??The intercessory role race plays in eliminating the income gap between men and women shouldn’t require losses for either gender. In other words, it doesn’t have to be a zero-sum game. For the difference to close for women of color, real wages must rise faster than white men.
Economic discrimination and its associative costs have a negative impact on the economy. For instance, the workplace discrimination has an associative value of roughly $64 billion, which is reflective of say losing 2 million workers (Burns, 2007). Although the government has complex trajectories, the proposed methods of correcting the arbitrariness and unfairness in income earnings for women must come from the government. The answer is for government to encourage more economic analysis because that will emphasize the failed policy prescriptions that haven’t maximized profitability. III (b) Education ??According to the Economic Policy Institute, which is a nonprofit think tank that researches the impact of economic trends, educated college women earn $10.
20 less per hour than men with the same education level. The Economic Snapshotconducted by Elise Gould and Teresa Kroeger stated, “Using annualized wages, the gender pay gap for the average woman with a college degree costs her $21,216 every year.” ??Women typically seek higher levels of education than men (Malul and Yuval, 2011). Women’s answer to reducing the wage gap between themselves and men is to find knowledge. Access to education for women only expanded in the United States during the 1800s with the opening of the opening of Oberlin College in Ohio (Ford, 2011). However, women were merely caregivers to male students.
But, as schools grew, the lack of available men teachers presented an opening for women. This influx of new women workers changed societal role women played, but it didn’t alter patriarchal ideologies because women were now subjected to pay discrimination because they didn’t receive equal pay for equal work. Equal pay discrimination was not resolved for women until the 110th Congress passed the Lilly Ledbetter Equal Pay Act (Anderson, 2011).???The vertical distance between the demand curve for educated workers and the demand curve will reflect a higher marginal product (MP) and women understand this concept as much more are sitting at the helm of corporations (Gwartney et al.
, 2018). It is important to note that when women’s education levels increase so did the gradual reduction in the pay gap. Education didn’t close the difference, but it made a noticeable transformation in earnings.
But, according to CNBC reporter Shawn M. Carter, the gender pay gap in the United States is still at 20 percent. According to the Institute for Women’s Policy Research, the author is correct in women earning 20 percent less than men doing the same job. That means for every dollar earned by a man; a woman makes $0.76. Research confirms economists can’t believe when women’s pay will be commensurate with men. The American Association of University Women, which was officially founded in 1881, is a non-profit organization that advances equity for women and girls through advocacy assert that “for every level of academic achievement, women’s median earnings are less than men’s median earnings, and in some cases, the gender pay gap is larger at higher levels of education.” ??Using education as the catalyst for closing the income gap from an economic view increases productivity and highlights the relationship between education and earnings (Ganguli, Hausmann, and Viarengo, 2014).
Because of the gender roles assigned to women by society, historically women have had fewer incentives to invest in education (Becker, 1992). However, today, women are mobilized and incentivized to get educated because they understand globalization has increased the need for high-skilled workers with college degrees (Gwartney et al., 2018).