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Why do small establishments hire fewer blacks than large ones

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  • H. J. Holzer

Abstract

This paper shows that small establishments are much less likely to hire and employ blacks than are larger establishments. A number of possible explanations for this result are considered, such as differences across establishments in application rates from blacks, skill needs, locations, and recruiting behavior. Although these factors can account for some of the differences between small and large employers, much remains unexplained. The results suggest that discrimination in hiring may be much more pervasive at smaller establishments than larger ones.

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File URL: http://www.irp.wisc.edu/publications/dps/pdfs/dp111997.pdf
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Bibliographic Info

Paper provided by University of Wisconsin Institute for Research on Poverty in its series Institute for Research on Poverty Discussion Papers with number 1119-97.

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Handle: RePEc:wop:wispod:1119-97

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  1. Holzer, Harry J, 1987. "Informal Job Search and Black Youth Unemployment," American Economic Review, American Economic Association, American Economic Association, vol. 77(3), pages 446-52, June.
  2. Smith, James P & Welch, Finis, 1984. "Affirmative Action and Labor Markets," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 2(2), pages 269-301, April.
  3. Leonard, Jonathan S, 1985. "Affirmative Action as Earnings Redistribution: The Targeting of Compliance Reviews," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 3(3), pages 363-84, July.
  4. Holzer, Harry J, 1994. "Job Vacancy Rates in the Firm: An Empirical Analysis," Economica, London School of Economics and Political Science, London School of Economics and Political Science, vol. 61(241), pages 17-36, February.
  5. William J. Carrington & Kristin McCue & Brooks Pierce, 2000. "Using Establishment Size to Measure the Impact of Title VII and Affirmative Action," Journal of Human Resources, University of Wisconsin Press, vol. 35(3), pages 503-523.
  6. Bound, John & Holzer, Harry J, 1993. "Industrial Shifts, Skills Levels, and the Labor Market for White and Black Males," The Review of Economics and Statistics, MIT Press, vol. 75(3), pages 387-96, August.
  7. Neal, Derek A & Johnson, William R, 1996. "The Role of Premarket Factors in Black-White Wage Differences," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 104(5), pages 869-95, October.
  8. Lisa M. Lynch & Sandra E. Black, 1995. "Beyond the Incidence of Training: Evidence from a National Employers Survey," NBER Working Papers 5231, National Bureau of Economic Research, Inc.
  9. Bloch, Farrell, 1994. "Antidiscrimination Law and Minority Employment," University of Chicago Press Economics Books, University of Chicago Press, edition 0, number 9780226059839.
  10. H. Holzer & D. Neumark, . "Are affirmative action hires less qualified? Evidence from employer-employee data on new hires," Institute for Research on Poverty Discussion Papers, University of Wisconsin Institute for Research on Poverty 1113-96, University of Wisconsin Institute for Research on Poverty.
  11. Garen, John E, 1985. "Worker Heterogeneity, Job Screening, and Firm Size," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 93(4), pages 715-39, August.
  12. Brown, Charles & Medoff, James, 1989. "The Employer Size-Wage Effect," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 97(5), pages 1027-59, October.
  13. H. J. Holzer & K. R. Ihlanfeldt, . "Spatial factors and the employment of blacks at the firm level," Institute for Research on Poverty Discussion Papers, University of Wisconsin Institute for Research on Poverty 1086-96, University of Wisconsin Institute for Research on Poverty.
  14. Steven J. Davis & John C. Haltiwanger & Scott Schuh, 1998. "Job Creation and Destruction," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262540932, December.
  15. Holzer, Harry J & Katz, Lawrence F & Krueger, Alan B, 1991. "Job Queues and Wages," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 106(3), pages 739-68, August.
  16. Barron, John M & Black, Dan A & Loewenstein, Mark A, 1987. "Employer Size: The Implications for Search, Training, Capital Investment, Starting Wages, and Wage Growth," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 5(1), pages 76-89, January.
  17. Becker, Gary S., 1971. "The Economics of Discrimination," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226041162.
  18. Leonard, Jonathan S, 1990. "The Impact of Affirmative Action Regulation and Equal Employment Law on Black Employment," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 4(4), pages 47-63, Fall.
  19. Daniel Immergluck, 1996. "What employers want: Job prospects for less-educated workers," The Review of Black Political Economy, Springer, Springer, vol. 24(4), pages 135-143, June.
  20. Barron, John M & Berger, Mark C & Black, Dan A, 1997. "Employer Search, Training, and Vacancy Duration," Economic Inquiry, Western Economic Association International, Western Economic Association International, vol. 35(1), pages 167-92, January.
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