Residential segregation by race was lower in 1980 than it was in 1970, although there was almost no improvement in integration during the preceding decade. Furthermore, it was lower in 1980 than it was in 1960 for the nation as a whole, and for each of the census regions. Thus while housing markets remain highly segregated today, barriers to integration appear to be slowly breaking down. This study of trends in residential segregation in the 1970s used tract data obtained from the 1960, 1970, and 1980 Census of Population and Housing on standard metropolitan statistical areas (SMSA) in 11 states. It measured exposure to members of another racial group. Results indicate that a redistribution of the White population toward more integrated neighborhoods gathered steam in the 1970s and a significant proportion of the Black population shifted away from established ghetto areas, where exposure to Whites was relatively low, into middle- and upper-income areas, where exposure rates were relatively high. The segregation of Blacks and Whites (including Hispanics) is somewhat higher in metropolitan areas with a large Hispanic population, but the segregation of Blacks and Anglo Whites in those areas is significantly higher. The impact of fair housing laws is discussed, as is the bifurcation of the Black community into "haves" and "have nots." Tables of segregation indices for individual SMSAs are appended. (PS)