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Race and the income-achievement gap

Author

Listed:
  • Bacic, Ryan
  • Zheng, Angela
Abstract
We study whether racial disparities in economic opportunity appear at an early age. Using administrative education data linked to tax records, we study the income-achievement gap across different races and find important variation. The income-achievement gap is small for East Asian children while it is close to twice as large for Indigenous children. Sorting by income into schools accounts for a large portion of the variation in the income-achievement gap across all student groups. In addition, our results suggest that the large income-achievement gap for Indigenous students may be rooted in inequality in health outcomes and poor housing conditions. Our findings on income-achievement gaps across race could partially explain the different intergenerational mobility outcomes by race documented by others.

Suggested Citation

  • Bacic, Ryan & Zheng, Angela, 2023. "Race and the income-achievement gap," CLEF Working Paper Series 55, Canadian Labour Economics Forum (CLEF), University of Waterloo.
    • Handle: RePEc:zbw:clefwp:55
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    References listed on IDEAS

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    More about this item

    Keywords

    test scores; income-achievement gaps; race;
    All these keywords.

    JEL classification:

    • I20 - Health, Education, and Welfare - - Education - - - General
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination

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