Racial Segregation in Housing Markets and the Erosion of Black Wealth

A-Tier
Journal: Review of Economics and Statistics
Year: 2025
Volume: 107
Issue: 1
Pages: 42-54

Score contribution per author:

1.005 = (α=2.01 / 4 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper studies how the expansion of segregated neighborhoods eroded black wealth in prewar American cities. Using a novel sample of matched addresses, we find that over a single decade rental prices soared by roughly 50% on city blocks that transitioned from all white to majority black. Meanwhile, pioneering black families paid a 28% premium to buy a home on a majority white block, after which their homes lost 10% of their value. These findings strongly suggest that segregated housing markets cost black families much of the gains associated with moving north during the Great Migration.

Technical Details

RePEc Handle
repec:tpr:restat:v:107:y:2025:i:1:p:42-54
Journal Field
General
Author Count
4
Added to Database
2026-01-24