Ethnic and Religious Components of the Jewish Income Advantage, 1969 and 1989

Abstract

Because Jewish ethnicity and religion do not necessarily coincide, the income advantage associated with Jewish identity can be separated into its ethnic and religious components. We estimate the impact of Jewish ethnicity and religion on household income in 1969 and 1989. In both years, ethnically Jewish households had a considerable income advantage over other non‐Hispanic White households. This advantage appears to have persisted even among households without full‐time workers. Mixed‐ethnicity households (those with both Jewish‐born and non‐Jewish workers) had a conspicuous advantage in 1969 but not in 1989. While religion brought an additional income advantage to Reform, Conservative, and nondenominational Jews, Orthodoxy was associated with a relative disadvantage. Orthodox Judaism appears to impede economic attainment, perhaps by isolating its adherents from the social and economic networks established by the broader Jewish community.

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