Local Labor Market Structure and Male Employment Stability in Large Metropolitan Areas

Abstract

The stability of employment (total hours worked) is a critical (but sometimes ignored) variable in the stratification process in American society. This article analyzes the determinants of(log)hours worked for a sample of male household heads (taken from the Panel Study of Income Dynamics), who participated in the labor force for at least 49 weeks in 1976. After controlling for sample selection bias, the structural features of the labor market of residence were among the more important determinants of hours worked for black men. For example, black men worked more hours when they lived in service-oriented metropolitan areas, although this was not true of low-skilled black men. In addition, government participation in local labor and product markets stabilized the employment experiences of black men. For white men, their labor supply was chiefly determined by the status of their occupations and whether or not they received unemployment benefits. The theoretical and policy implications of these findings are briefly discussed.