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Rental Housing Discrimination and the Persistence of Ethnic Enclaves

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Author Info

  • Bosch, Mariano

    ()
    (Inter-American Development Bank)

  • Carnero, M. Angeles

    ()
    (Universidad de Alicante)

  • Farré, Lídia

    ()
    (IAE Barcelona (CSIC))

Abstract

We conduct a field experiment to show that discrimination in the rental market represents a significant obstacle for the geographical assimilation process by immigrants. We employ the Internet platform to identify vacant rental apartments in different areas of the two largest Spanish cities, Madrid and Barcelona. We send emails showing interest in the apartments and signal the applicants' ethnicity by using native and foreign-sounding names. We find that, in line with previous studies, immigrants face a differential treatment when trying to rent an apartment. Our results also indicate that this negative treatment varies considerably with the concentration of immigrants in the area. In neighborhoods with a low presence of immigrants the response rate is 30 percentage points lower for immigrants than for natives, while this differential disappears when the immigration share reaches 50%. We conclude that discriminatory practices in the rental housing market contribute to perpetuate the ethnic spatial segregation observed in large cities.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5583.

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Length: 34 pages
Date of creation: Mar 2011
Date of revision:
Handle: RePEc:iza:izadps:dp5583

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Keywords: immigration; discrimination; spatial segregation;

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References

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  2. Lídia Farré & Libertad González Luna & Francesc Ortega, 2009. "Immigration, family responsibilities and the labor supply of skilled native women," Economics Working Papers, Department of Economics and Business, Universitat Pompeu Fabra 1161, Department of Economics and Business, Universitat Pompeu Fabra.
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  6. M. Angeles Carnero Fernández & Lídia Farré Olalla & Mariano Bosch, 2009. "Information and discrimination in the rental housing market: evidence from a field experiment," Working Papers. Serie AD, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie) 2009-21, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
  7. Ahmed, Ali M. & Hammarstedt, Mats, 2008. "Discrimination in the rental housing market: A field experiment on the Internet," Journal of Urban Economics, Elsevier, vol. 64(2), pages 362-372, September.
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Citations

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Cited by:
  1. Verena Dill & Uwe Jirjahn & Georgi Tsertsvadze, 2011. "Residential Segregation and Immigrants' Satisfaction with the Neighborhood in Germany," Research Papers in Economics 2011-08, University of Trier, Department of Economics.
  2. Sara de la Rica & Albretch Glitz & Francesc Ortega, 2013. "Immigration in Europe: Trends, Policies and Empirical Evidence," Working Papers 2013-16, FEDEA.
  3. Verena Dill & Uwe Jirjahn, 2011. "Ethnic Residential Segregation and Immigrants' Perceptions of Discrimination in West Germany," Research Papers in Economics 2011-10, University of Trier, Department of Economics.

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