The authors examine the relationship between economic restructuring in
a metropolitan statistical area (MSA) and 1980-1990 changes in povert
y rates in its census tracts. A summary indicator of economic restruct
uring, encompassing changes in employment/population ratios, shares of
manufacturing employment, and shares of MSA manufacturing in a tract'
s county, is developed to explain why MSA restructuring is particularl
y distressing for blacks. Most poverty growth in predominantly black c
ensus tracts occurred in MSAs with greater restructuring, and each inc
rement of restructuring was significantly associated with the poverty
growth there. Black tracts in a central city with, or in a county with
, a larger share of the MSA's manufacturing were most vulnerable.