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lack and Hispanic workers faced disproportionately larger declines in labor force participation than white workers during the pandemic-led recession. Specifically, from February to April 2020, the labor force participation rates of Black and Hispanic workers fell by 4.5 and 4.7 percentage points, respectively, larger than a 2.6 percent fall for white workers. These gaps appear consistent with previous recessions: the labor market outcomes of racial and ethnic minorities tend to deteriorate more than those of white workers during recessions, widening gaps in participation, employment, and wages during downturns (see, for example, Cajner and others 2017; Aaronson and others 2019). To the extent that the gaps hold among prime-age workers (age 25 to 54), they may be especially concerning to policymakers. Primeage individuals are in their most productive working years, and developments in their labor market outcomes have important implications for the future of the labor market and economic growth.
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Tüzemen et al. (2023) studied this question.
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