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Perceptions of Racial Gaps, their Causes, and Ways to Reduce Them

Author

Listed:
  • Alesina, Alberto
  • Ferroni, Matteo F.
  • Stantcheva, Stefanie

Abstract

This paper studies how beliefs about racial inequalities and their causes vary and shape support for race-targeted and redistribution policies among Black and white Americans, including both adults and teenagers. We collect original large-scale survey data to provide new evidence on perceptions, attitudes, and policy views on racial issues and study the causal impact of information on policy views. We highlight significant heterogeneity along racial and partisan lines in perceived racial gaps in income and mobility. Yet, the biggest discrepancies are in how people explain the existence of these gaps, i.e., their perceived causes. White Democratic and Black respondents are much more likely to attribute racial inequities to systemic factors, such as adverse past and present circumstances, and want to act on them with race-targeted and general redistribution policies. White Republicans are more likely to attribute racial gaps to individual-based factors, such as individual effort or actions. These views are already deeply entrenched in teenagers, based on their race and their parents' political affiliation. A policy decomposition shows that the perceived causes of racial inequities are the strongest predictors of support for race-targeted or redistribution policies, a finding confirmed by the experimental results.

Suggested Citation

  • Alesina, Alberto & Ferroni, Matteo F. & Stantcheva, Stefanie, 2021. "Perceptions of Racial Gaps, their Causes, and Ways to Reduce Them," CEPR Discussion Papers 16529, Centre for Economic Policy Research.
  • Handle: RePEc:cpr:ceprdp:16529
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    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

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