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Author: Athreya, Kartik
Resulting in 1 citation.
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Gordon, Grey Jones, John Bailey Neelakantan, Urvi Athreya, Kartik |
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Incarceration, Employment, and Earnings: Dynamics and Differences Presented: New Orleans LA, American Economic Association Annual Meeting, January 2023 Cohort(s): NLSY79 Publisher: American Economic Association Keyword(s): Earnings; Incarceration/Jail; Markov chain / Markov model; Unemployment Permission to reprint the abstract has not been received from the publisher. We study the dynamics of incarceration, employment, and earnings. Our hidden Markov model distinguishes between first-time and repeat incarceration, between persistent and transitory nonemployment and earnings risks, and accounts for nonresponse bias. We estimate the model via maximum likelihood using the National Longitudinal Survey of Youth 1979, accounting for the large differences in incarceration rates by race, education level, and gender. First-time incarceration is associated with 32% (51%) lower expected lifetime earnings and 6 (10) fewer years of employment for Black (White) men with a high school degree. Among less-educated men, differences in incarceration and nonemployment can explain around half the Black-White lifetime earnings gap. |
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Bibliography Citation
Gordon, Grey, John Bailey Jones, Urvi Neelakantan and Kartik Athreya. "Incarceration, Employment, and Earnings: Dynamics and Differences." Presented: New Orleans LA, American Economic Association Annual Meeting, January 2023. |