Accounting for the Black–White Wealth Gap

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The Role of Permanent Income and Demographics in Black/White Differences in Wealth (2001, background): “Barsky et al. (2002) take a nonparametric approach to addressing the potential for bias from misspecification of the relationship between wealth and income in the presence of differences in the white and black income distributions.”
Why Do Minority Men Earn Less? A Study of Wage Differentials among the Highly Educated (2006, background): “The issue at hand receives careful treatment in recent work by Barsky et al. (2002), in which the authors demonstrate that the typical parametric Blinder-Oaxaca approach leads to serious errors in estimating the portion of the black-white wealth gap that is due to differences in earnings.”
Leaving Boys Behind (2015, background): “If the true conditional expectation is not linear, the OB decomposition is biased (Barsky et al., 2002). As in Fortin, Lemieux, and Firpo (2011), this issue is addressed by using a modified decomposition.”
Discrimination in the Credit and Housing Markets: Findings and Challenges (2006, background): “Recent evidence (Chiteji and Stafford (2000), Wolff (2001), Barsky et al. (2002)) suggest that these differentials remain 50 For example, African American-owned banks often have far weaker balance sheets than do other banks, making them relatively more cautious about loan-making – leading to the…”