I was reading the interesting-but-not-nearly-as-good-as-it could-have-been Blessed Among Nations: How the World Made America, by Eric Rauchway. The main argument concerns how modern-day America is rooted in choices from the early twentieth century. I came across the following passage:
The great push of people west across the oceans and west again across the continent passed the South by. Its people lived in an eddy of the global flow that entered the country at New York (where almost a quarter of the new immigrants stayed) and sluiced along the rail lines to California. Indeed, in the wash of this passing current, the South was losing its own labor force, more swiftly each year, as black workers left their homes looking for the better chances they had heard about in the North and West. Of those who left the South, the largest part (about 40 percent) went to the industrial states of New York, New Jersey, Pennsylvania, and Illinois…
OK, this is not a controlled experiment. But we have one part of the country — the North — taking in many immigrants. The South is losing a great deal of its unskilled, low-education labor at the same time, and it is losing that labor to the North. Think of that as additional immigration into the North and of course away from the South.
I am far away from home and have no access to data. Does anyone know? If we look at the wages of native white Americans — in the South and in the North — over this same period of time, where do people fare better?
Please leave your knowledge in the comments.
Given that in the early part of the last century textile and other mills started heading to the south to take advantage of lower wages and less union activity, I would postulate that workers traveling north and west initially pushed wages down due to over-supply of labor, however, this was followed by labor organization which pushed wages up. Furthermore, the large labor pool allowed northern cities to undergo huge expansion and accomplish big constructive feats. I think specifically of chicago, which both reconstructed itself and built the 1892 Worlds Fair in short order.
In the south the lack of development and jobs had to have had downward pressure on unskilled labor (while at the same time upward pressure on skilled labor). A study of the economic redevelopement of the South probably would provide a good example of what is going on in northern Mexico right now.
This reminds me of David Card’s study of how the Mariel boatlift to Miami in 1980 didn’t depress wages relative to four countrol cities. Of course, it’s only persuasive if Miami’s experience from 1980 to 1985 was ceteris paribus relative to other American cities at the same time. But I seem to recall from movies like “Scarface” and TV shows like that a unique event was pumping billions into the local Miami economy in the early 1980s. Can you recall what that was?
“Interestingly, some of the destinations of those migrants, most notably Detroit, then collapsed due in part to problem assimilating those internal migrants from the South.”
Yeah Detroit collapsed…100 years later.
In the historic stats Table f287
you find percapita regional income data.
It is not broken down by race but the
South AtlanticA) and East South Central(ESC)
are clearly the poorest areas of the country.
the ratio of percapita income to the US =100
…….SA….ESC
1840…70…..73
1880…45…..51
1900…45…..49
1920…59…..52
1940…69…..56
1960…77…..67
1970…86…..74
this data says the south was killed by the civil war and did not really start recovering until after 1900.
The bigger issue is why the migration from South to North occurred.
There were two things, a push and a pull. The push was that improving agriculture technology (mechanization and better herbicdes) made field hands redundant (Nicholas Lemann’s wonderful book The Promised Land goes into this in some detail). Since the New Deal agriculture support programs helped the farmer and not the farm hand, the only choice was to move to the cities to find work. The racist white power structure in South no doubt liked seeing their unwanted population (i.e. African-American) move far away.
The pull was the demand for labor in Northern factories, World War II played a big role (taking 12 million men out of the civilian job sector even as the GDP doubles— now that’s a labor shortage!), but remember also that from the mid 1920′s to the mid 1960′s, our immigration laws were very strict. Factory owners may have preferred, as they had always done, to hire immmigrants instead of African-Americans, but because of the immigration code and later, the War, this wasn’t an option.
Tyler can’t be serious. Is he really suggesting that immigrants increased wages? This
confuses cause and effect. Immigrants went to those places because they were booming and wages were high.
They did NOT cause the higher wages or the better living standards.
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