Informal Job Search and Black Youth Unemployment

40 Pages Posted: 28 May 2004 Last revised: 7 Aug 2010

See all articles by Harry J. Holzer

Harry J. Holzer

Georgetown University - Public Policy Institute (GPPI); National Bureau of Economic Research (NBER); IZA Institute of Labor Economics

Date Written: March 1986

Abstract

In this paper I analyze how young black and white unemployed jobseekers use various methods of search, and the employment outcomes which result from their use.The focus is on distinguishing informal search methods (i.e.,friends and relatives or direct application without referral) from more formal ones in analyzing racial differences.The results show that the two informal methods of search account for about 90% of the difference in employment probabilities between white and black youth. This also accounts for 57-71% of the difference in unemployment rates between the two. Furthermore, most of these results reflect differences in the ability of these methods to generate job offers, as opposed to differences in search effort or job acceptance rates. However, our ability to explain these differences through personal, family, and household characteristics was generally quite limited.

Suggested Citation

Holzer, Harry J., Informal Job Search and Black Youth Unemployment (March 1986). NBER Working Paper No. w1860. Available at SSRN: https://ssrn.com/abstract=341821

Harry J. Holzer (Contact Author)

Georgetown University - Public Policy Institute (GPPI) ( email )

3600 N Street, NW Suite 200
Washington, DC 20057
United States

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Register to save articles to
your library

Register

Paper statistics

Downloads
35
Abstract Views
973
PlumX Metrics