Local government employment more than doubled between 1957 and 1977. The growth rate fell consistently in metropolitan areas over the years but remained stable in nonmetro areas. An employeepopulation ratio and employee-aggregate income ratio were both higher / in areas farther from SMSAs than in areas closer to SMSAs. Less populated areas had more employees relative to income. Different levels of employment relative to population or income may indicate varying uses of capital and labor or separate responsibilities of State and local governments rather than indicating differences in quality or quantity of services. Regions are also examined.