State and local government set-aside programs and minority business development in the post-crosonera: the efficacy of disparity studies

Abstract

Since the Supreme Court's decision in City I of Richmond v. J. A. Croson in early 1989, disparity studies or minority business studies or discrimination studies have become a focal point in state and local government jurisdictions' Minority Business Enterprise set-aside policies. Disparity studies have been conducted in more than sixty jurisdictions around the United States. This article discusses (1) the status of MBE set-aside programs after Croson, (2) examines the efficacy of disparity studies as mechanisms for justifying the adoption or continuation of set-aside programs in state and local governmental jurisdictions, (3) provides discussion of specific procedural analyses which have been major components of a disparity study and (4) provides a summary discussion of disparity studies conducted in five jurisdictions. The conclusion notes several weaknesses of disparity studies that, if addressed, would enhance their utilty.