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Title: Youth Participation Rates and the Availability of Jobs
Resulting in 1 citation.
1. Blau, Francine D.
Youth Participation Rates and the Availability of Jobs
In: Supplementary Papers, Conference on Youth Unemployment: Its Measurement and Meaning. N.B. Davidson, ed. Washington, DC: U.S. Department of Labor, Employment and Training Administration, October 1978: pp. 56-76
Cohort(s): Young Men, Young Women
Publisher: U.S. Department of Labor
Keyword(s): Behavior; Discouraged Workers; Local Area Unemployment; Unemployment; Work History

This paper uses data from the NLS of Young Men and Women to examine the relationship between local area unemployment rates and the labor supply behavior of youth aged eighteen to twenty-four in l970. The net effect of the unemployment rate on the probability of labor force participation in l970 is found to be negative. Net discouragement appears to be greater among young women than among young men, and to be larger among blacks than among whites. Since local labor market unemployment rates tend to be correlated over time, the coefficient on the unemployment rate variable in the participation regressions was held to approximate a long-term supply response to persistent inter-city differences. The net impact of the unemployment rate on labor supply adjustments over a one-year period is also examined. No significant effect of unemployment rate on the probability of labor force entry or exit between l970 and l971 is obtained. These findings suggest that net effect of the ups and downs of the business cycle on the labor force participation of youth would not be very great. However, prolonged periods of high unemployment could produce net discouragement for this age group. At the level of the local labor market, our results suggest the efficacy and importance of policies designed to stimulate aggregate demand in depressed labor markets.
Bibliography Citation
Blau, Francine D. "Youth Participation Rates and the Availability of Jobs" In: Supplementary Papers, Conference on Youth Unemployment: Its Measurement and Meaning. N.B. Davidson, ed. Washington, DC: U.S. Department of Labor, Employment and Training Administration, October 1978: pp. 56-76