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Race and the Invisible Hand


Race and the Invisible Hand determines the subtleties and disparities of a workplace that gives the white job-seeker more employment chances over the black job seekers. At the heart of this discussion, the question is whether there are specific characteristics that make young black people undesirable as workers, compared to their white counterparts. In addition, if there are any issues or none at all, then why white men are always at the forefront or ahead of black men in terms of employment rates and earnings. “Royster attempts to give clear solutions to these questions, she compares the experience of the experiences of 25 white and 25 black graduates from a vocational school, who sought employment in the similar blue-collar labor market” (Royster). After a thorough investigation of the work ethics, as well as values and educational performances of the black men for specific deficiencies, her research brings out the large difference between young white and black men in terms of access to the types of contacts, which support them in the employment search and process of getting in that job.

Racial disparity in the U.S. labor

Royster’s research reveals that racial disparity in the US is apparent mainly because of anti-black neighborhoods, their issues, and black neighborhoods, which are very dangerous at times. Every American talks about race. As such, two groups of the US population arose, these groups are the African Americans and European Americans (Royster). Blacks have a disproportionate number of competition because of government sponsors affirmative actions. This is because they find it difficult to access jobs and other facilities because of their race. Thus, affirmative action is the only option to regulate the system.

The laissez capitalism idea supports the racial disparity system. This idea opposes governmental intervention in economic affairs beyond the limit which is crucial for the maintenance of property rights and peace. It is also practice or rather a philosophy with deliberate abstention from interruption to people’s freedom of action and choice.

Secondly, is the Darwinism theory, which holds that races, persons, and groups, result in similar laws of natural selection. This results in the elimination of the weak individuals and their cultures diminishing while the more adapted individuals grow their cultural influence and hold power over the weak ones. Social Darwinists suggested that human life is a competition for existence, in other words, “survival of the fittest”, a phrase propagated by Herbert Spencer, the British philosopher, and scientist.

A comparison of the reasons offered by market-oriented and embedded perspectives of the racial disparity

In the market-oriented approach and embedded perspective approach, racial disparity is a cyclical downsizing leading to the establishment of equilibrium through the invisible hand. It also leads to the intertwining of unemployment and economic structuring. The market approach holds the blacks in subordinating positions while the embedded approach holds the history and other issues of the blacks, institutional and personal contacts extremely valuable.

Embeddedness and market approaches maintain the overwhelming significance in racial segregation, and racially eroded civil rights legislation have an impact on labor markets. According to Wilson, the White races have disrupted privileges, their progress tapered off, and they are few and less important. They are also of a low class that needs help, and finally, they have unprecedented access. Critics argue that Wilson’s research states that there is considerable faith in the invisible hand. According to his research, demand and supply vary considerably, and that modern racial differences appear because of structural difficulties and not because of discrimination based on race.

Conservative scholars, such as Mead and D’Souza, believe that racial disparity is brought by part of the American wisdom, this is a result of a common sense that is the common knowledge used in organizing world views or principles of common sense through socialization and agencies of ideological control. Disparities can be caused by cultural proclivities, the impact of economic differences, and difficulties between African Americans and European Americans, or can be even internationalized.

Rodgers WASP used the idea of defensive racism, which holds some stereotypes about blacks, and currently applied to blacks. Some of these stereotypes are the main source of problems experienced by blacks today. WASP’s idea, just like all other ideas, does not come without criticism, some scholars argue that the theory is biased in the sense that it does not reflect on the race, but rather the class background and that it fails to consider the clear cut differences between blacks and whites.

Some economists consider the embedded approach as an alternative to Wilson’s modified Market approach and racial deficits. They suggest that employment differences are a group-based idea, because of institutional connections and low efficacious personal attributes among blacks and whites. However, the embeddedness approach is critical and highlights the role of invisible and visible hands. Additionally, the institutional connections are linkage-driven and call for durable inequality patterns that enhance the racial disparity.

The racial networks are formed between the two distinct races that play a very significant role. For example, the race involved used the networks to assist the members to find employment, employ, and recommend them, share crucial information, and sometimes act as mediators between the members and the employment institutions and governments. There exist some inequalities in the unions or networks, for example, White families held a historic advantage over the blacks, for instance, apprenticeships and training programs, monopoly and regulation of blue-collar and high-income jobs, and have the power to exclude blacks from their unions.

The inequalities between the two unions necessitated the formulation of the Split Labour market theory in the 19th and 20th centuries (Royster). The white labor riots caused the forced displacement of blacks from their labor markets and the consequent of historical research, as well as caste system reinforcement. The caste system later became vigilant and rigid, developing several customs, beliefs, and laws for preventing further undercutting. The prospect of changing the experience of the black society was also undermined.

A forecast of the future of impacted groups in the labor market

Ethnographic studies, using participant observation and focused structured interviews and some other contemporary researches, indicate that there exist some gaps between blacks and whites in labor markets. Experiences in both deindustrialization and industrialization, either increase the role of contact between institutions in employment patterns. Vocational training was not available in the US, since well paid and white-collar work requires some training and skills, majority of youths and adults blacks may end up being jobless and unable to compete in labor markets. Lack of qualified manpower and skill delineates that families and young men play in transitional processes in labor markets.


Racial disparities play a determinant role in the labor market. The prevailing gender differences, employment difficulties, attitudinal differences, and values, as well as enormous disparity between whites and blacks, specifically in labor markets, are great. It is a result of political and cultural conditions, as well as ideologies held by earlier generations, which transpired and dominated the contemporary generations. To remedy the situation and create equality and equilibrium in labor markets, it is paramount to provide equal opportunities and access to education and training to both blacks and whites irrespective of racial differences.

Works Cited

Royster, Deirdre. Race and the invisible hand: how white networks exclude black men from blue-collar jobs. Berkeley: University of California Press, 2003. Print.


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