NSTTUTE FOR RESEARCH ON POVERTYD , scWK

Ribich for their comments. I would like to thank the Institute for their generous support of computing and programming , and Karl and Alma Taeuber who originally interested me in this subject and graciously provided me with unpublished Census data. employment, 1950 to 1960. The impact of these variables depends on the occupation in question: Industrial concentration had a generally depressing effect on employment in the midd1e-and high-level occupations and a favorable effect in the low-level occupations. Unions, as expected, have a depressing, occupation-specific effect on Negro employment. Expansion of employment had a depressing effect on Negro employment. Because educational attainment was standardized when measuring employment representation, it follows that attitudes or prejudice, reinforced by monopoly power, are the primary obstacles to increased Negro employment. Thus, where Negroes have been employed, it would seem attitudes of white employers and employees have been moderated; also it would seem to be the more fruitful place to pressure for further Negro employment. Unless the government is willing to persuade the most powerful firms and unions in the nation to hire Negroes and break the color barrier, it will find it easiest to pressure for more Negro employment where it already exists; Because the membership' of unions benefit economically from the exclusion of any additional workers, moral suasion seems doomed to fail. Direct economic penalties here then are probably the only means to effectively deal with employment discrimination. ii If we standardize for educational attainment, part of Section I~