This study examined the racial dynamics of the undergraduate social system of fraternities and sororities. The study sought to determine: (1) how white student participation in social fraternities and sororities was influenced by racial dynamics, (2) under what conditions students of color were accepted by the dominant peer group, (3) what types of students of color participate in these organizations, and (4) what this suggests about racial identity. Data for the study were derived from the Cooperative Institutional Research Program database on over 300,000 students. The first stage of the analysis compared patterns of participation between students of color and white students; the findings here indicated that such organizations remain predominantly "white social clubs." Regression analyses in the second stage examined the predictive values of specific variables such as student background, institutional characteristics, and student self-reported attitudes for both white students and students of color. Among findings were that campus racial climate influenced student participation in such social organizations, with racial conflict on campus enhancing white students' joining, whereas campuses committed to diversity had a negative effect on white student participation. Five tables summarize data for participation rates for a freshman cohort, three groups of variable predictors, and participation rates for students of color. (Contains 55 references.) (CH)