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Tides and Prejudice: Racial Attitudes During Downturns in the United States 1979–2014

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  • Arjun Jayadev

    (Azim Premji University
    Institute for New Economic Thinking)

  • Robert Johnson

    (Institute for New Economic Thinking)

Abstract

What happens to racial prejudice during economic downturns? This paper analyzes white attitudes towards African Americans in the United States at different points in a business cycle from 1979 to 2014. Using a number of indicators of hostility towards African Americans available from the General Social Survey we develop an indicator of racial prejudice. We combine this with data on unemployment from the Current Population Survey and find robust evidence that racial hostility as measured by our indicator of prejudice is counter cyclical and rises during periods of higher unemployment for whites. Specifically a one standard deviation in the unemployment rate being experienced by whites is associated with a .03 to.05 standard deviation increase in the discrimination index. This is of a magnitude comparable with one year less of education. We undertake a quantile regression to show that this effect is widespread across the distribution of prejudice and that apart from those with initially low levels of prejudice, increasing own group unemployment results in statistically significant increases of similar magnitude in prejudice across that distribution.

Suggested Citation

  • Arjun Jayadev & Robert Johnson, 2017. "Tides and Prejudice: Racial Attitudes During Downturns in the United States 1979–2014," The Review of Black Political Economy, Springer;National Economic Association, vol. 44(3), pages 379-392, December.
    • Handle: RePEc:spr:blkpoe:v:44:y:2017:i:3:d:10.1007_s12114-017-9264-y
    DOI: 10.1007/s12114-017-9264-y
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    References listed on IDEAS

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    1. Giovanni Facchini & Anna Maria Mayda, 2009. "Does the Welfare State Affect Individual Attitudes toward Immigrants? Evidence across Countries," The Review of Economics and Statistics, MIT Press, vol. 91(2), pages 295-314, May.
    2. Kevin Lang & Jee-Yeon K. Lehmann, 2012. "Racial Discrimination in the Labor Market: Theory and Empirics," Journal of Economic Literature, American Economic Association, vol. 50(4), pages 959-1006, December.
    3. Anna Maria Mayda, 2006. "Who Is Against Immigration? A Cross-Country Investigation of Individual Attitudes toward Immigrants," The Review of Economics and Statistics, MIT Press, vol. 88(3), pages 510-530, August.
    4. Johnston, David W. & Lordan, Grace, 2016. "Racial prejudice and labour market penalties during economic downturns," European Economic Review, Elsevier, vol. 84(C), pages 57-75.
    5. Arthur H. Goldsmith & Darrick Hamilton & William Darity, Jr, 2007. "From Dark to Light: Skin Color and Wages Among African-Americans," Journal of Human Resources, University of Wisconsin Press, vol. 42(4).
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