differentials. The simple answer is that the differentials will persist as long
as the discrimination itself persists. Consider three general cases.
In the first case, the discrimination is supported by explicit government
policy, as in the South African apartheid system in which blacks were
prohibited by law from holding prestigious and high-paying jobs. In such
cases, as long as the law remains in place, so too will the discriminating
wage differentials. If political pressure forces a change in the law, as
happened in South Africa in the 1980s and 1990s, the effects of the
discrimination will be reversed, but it may take some time. In particular, it
will take time for the once-discriminated-against individuals, who had
little incentive to invest in their own human capital, to acquire the human
capital necessary for them to qualify for the prestigious jobs. The effects
of the legislated discrimination are likely to linger long after the policy
itself.