t, manufacturing jobs only declined from 29.5 to 26.6 percent in the same time period. In contrast to declines in manufacturing jobs, all regions experienced an increase in service industries. This includes both low skilled, low wage and high skilled, high wage jobs. The largest increases in both types of service industries were in cities of the Northeast and Midwest. It is apparent that in the last two decades large cities in the U.S. have undergone a transformation of their economies. Manufacturing industries are declining while service industries are increasing. This transformation is particularly pronounced in the Northeast and Midwest where unemployment rates have doubled. The results of Table 2 indicate support for the first hypothesis, suggesting that the transformation of the economy in 1970's and 1980's led to employment dislocation or increased unemployment in urban areas. Given the support found for the first hypothesis, the next part of the model or the second hypothesis needs to be examined. The second hypothesis, or after 1980, employment dislocation has led, in part, to dramatic changes in family structure is examined in Tables 3 and 4.Table 3 contains separate OLS regression models for 1970, 1980, and 1990. For each decade both the percent poor and the percent black in a city had a significant positive effect on the percentage of female-headed families. This was expected since these variables tend to be highly correlated. Areas with high poverty rates tend to have large numbers of female-headed families. In addition, the location of the city by region was also important in determining the percentage of female-headed families. With the exception of the West in 1970, each dummy variable for region was significant suggesting that cities in the Northeast, Midwest, and West all are more likely to have female-headed families than cities in the South. This was particularly true for cities in the Northeast, which by 1990 were 3....
