Racial pay gap exists even among the highly educated
Share Now on:
Racial pay gap exists even among the highly educated
College-bound students are often told that higher education bolsters their earning potential in the professional world, a fact that remains well-proven. What is not so true, according to a new study published Monday, is how much an advanced degree protects against larger financial shock, such as a recession.
According to the results published by the Federal Reserve Bank of St. Louis, black and Hispanic college graduates saw their median net worth fall from 1992 to 2013, whereas white college graduates saw their earnings rise. What is notable about this time period is that it includes three recessions, speaking to how widespread financial circumstance affects ethnic groups differently.
Among the findings:
Between 2007 and 2013, white college graduates saw their median net worth fall 16 percent, whereas black and Hispanic graduates saw their worth fall 59.7 percent and 71.9 percent, respectively. Asian college graduates saw their median net worth go up 5.1 percent, by comparison.
![](http://cms.marketplace.org/sites/default/files/median.jpg)
![](http://cms.marketplace.org/sites/default/files/debt_3.jpg)
There’s a lot happening in the world. Through it all, Marketplace is here for you.
You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible.
Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.