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Why do small establishments hire fewer blacks than large ones

Harry Holzer

Institute for Research on Poverty Discussion Papers from University of Wisconsin Institute for Research on Poverty

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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Journal Article: Why Do Small Establishments Hire Fewer Blacks Than Large Ones? (1998) Downloads
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