Panel Paper:
Measuring the Racial Wealth Gap
*Names in bold indicate Presenter
In this study we have two specific aims. First, we examine different analytic approaches to measuring the black/white wealth gap. Our analyses allow us to distinguish between estimation techniques that account for non-normal distributions, skewness, and a high concentration of negative and zero values such as quantile regression, inverse hyperbolic sign and logarithmic transformations, in addition to OLS models. We pay particular attention to how differences in wealth information collected from the Survey of Consumer Finances, Panel Study of Income Dynamics, and Survey of Income and Program Participation contribute to variations in the measurement of wealth inequality. Based on the outcomes from our first aim, our second aim addresses the best approach for modeling racial wealth inequality in the U.S. This section draws from a theoretical lens that emphasizes historical and policy mechanisms that have not only promoted group-based wealth accumulation for some but also, wealth loss and theft for others. We conclude with a discussion on assessing bias in methods and recommendations for best practices when analyzing wealth and measuring wealth differentials in a racialized context.