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Black Youth Nonemployment: Duration and Job Search

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Author Info
Harry J. Holzer

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Abstract

This paper analyzes reservation wages and durations of nonemployment for young blacks and whites. Selfreported reservation wages are compared for blacks and whites before and after controlling for indicators of labor demand such as received wages, weeks worked, or other personal characterlstics. The effects of these reservation wages on durations of nonemployment as well as on subsequent wages are analyzed as well.The results show that young blacks seek jobs and wages which are comparable to those of young whites, but which are higher relative to what young blacks obtain. On the other hand, young blacks appear at least if not more likely to take specific low-skill jobs, albeit teporariiy. These reservation wages appear to have positive effects on nonemployment durations and subsequent wages for both groups, and explain up to a third of the higher nonemployment durations of young blacks.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 1276.

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Date of creation: Feb 1984
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Handle: RePEc:nbr:nberwo:1276

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Lippman, Steven A & McCall, John J, 1976. "The Economics of Job Search: A Survey," Economic Inquiry, Oxford University Press, vol. 14(3), pages 347-68, September.
  2. Stephen T. Marston, 1976. "Employment Instability and High Unemployment Rates," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 7(1976-1), pages 169-210. [Downloadable!]
  3. Kim B. Clark & Lawrence H. Summers, 1982. "The Dynamics of Youth Unemployment," NBER Chapters, in: The Youth Labor Market Problem: Its Nature, Causes, and Consequences, pages 199-234 National Bureau of Economic Research, Inc. [Downloadable!]
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  4. Richard B. Freeman, 1979. "Why is There A Youth Labor Market Problem?," NBER Working Papers 0365, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Harry J. Holzer, 1984. "On the Rationality of Black Youth Unemployment," NBER Working Papers 1411, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  2. H. J. Holzer & R. J. LaLonde, . "Job Change and Job Stability among Less-Skilled Young Workers," Institute for Research on Poverty Discussion Papers 1191-99, University of Wisconsin Institute for Research on Poverty. [Downloadable!]
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