The Impact of Employment Discrimination Litigation on Racial Disparity in Earnings: Evidence and Unresolved Issues

Abstract

What is the relationship between employment discrimination litigation and the relative earnings of blacks and whites in the United States? Do victories in court affect blacks' relative earnings? Are gains in earnings associated with legal victories enduring or temporary? Can litigation be an effective tactic in efforts at social reform? Data on plaintiff victories in employment discrimination cases decided by U.S. appellate courts from 1965 through 1985 show that victories are associated with significant and enduring increases in blacks' relative earnings. One implication is that at least in this area, the courts may bring about social reform.

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