the same dimensions. Bayard, et al. (1998) construct a data set (called the New Worker-Establishment Characteristics Database, or NWECD) based on a match of employees to their establishments, and carry out an analysis of the roles of sex segregation by occupation, industry, establishment, and job cell, similar to Groshen's. While there are differences in the findings reported in these studies, all find that in addition to being concentrated in low-wage occupations, women are also concentrated in low-wage establishments and low-wage job cells.(4) In this paper, we use the NWECD to study the role of racial and ethnic segregation in generating wage differences between whites, blacks, and Hispanics. The NWECD is uniquely suited to this analysis, as the Industry and Area Wage Surveys contain no information on race and ethnicity. Thus, to the best of our knowledge, this is the first paper that looks at segregation by race and ethnicity at the level of the establishment and job cell.(5) We consider evidence on the effects of racial and ethnic segregation on wages, and the extent to which racial and ethnic wage differences remain after controlling for segregation. Such evidence helps to assess whether equal pay policies are likely to reduce these wage differences (assuming that these remaining differences reflect discrimination).(6) We are particularly interested in the question posed in the title of this paper, namely whether more severe racial and ethnic segregation among men can explain why racial and ethnic wage gaps are bigger among men than among women. II. The DataThe NWECD is created from two data sources, the Sample Detail file (SDF), which contains all individual responses to the 1990 Decennial Census one-in-six Long Form, and the 1990 Standard Statistical Establishment List (SSEL), which is an administrative database containing information for all business establishments operating in the United States in 1990. We construct the NWECD ...
