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Racial Discrimination in the Sharing Economy: Evidence from a Field Experiment
Abstract
In an experiment on Airbnb, we find that applications from guests with distinctively African American names are 16 percent less likely to be accepted relative to identical guests with distinctively white names. Discrimination occurs among landlords of all sizes, including small landlords sharing the property and larger landlords with multiple properties. It is most pronounced among hosts who have never had an African American guest, suggesting only a subset of hosts discriminate. While rental markets have achieved significant reductions in discrimination in recent decades, our results suggest that Airbnb's current design choices facilitate discrimination and raise the possibility of erasing some of these civil rights gains. (JEL C93, J15, L83)
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“These revenue gaps are likely to have their origins in multiple factors; discrimination in guests choosing host on the basis of their profile picture [27,46–48], having limited access to housing wealth that is attractive to touristic consumption due to e.g. racial segregation [35,49]”
From How sharing is the “sharing economy”? Evidence from 97 Airbnb markets (2022) · cites this paper as [47]
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Metadata
- Authors
- Edelman, B., Luca, M., & Svirsky, D.
- Affiliations
- Harvard Business School, Morgan 462, 25 Harvard Way, Boston, MA 02163 (e-mail: )
- Harvard Business School, Baker Library 457, 10 Harvard Way, Boston, MA 02163 (e-mail: )
- Harvard Business School and Harvard University Department of Economics, Baker Library 420A, 25 Harvard Way, Boston MA 02163 (e-mail: )
- Venue
- American Economic Journal: Applied Economics
- Publisher
- American Economic Association
- Published
- 2017-04-01
- Volume
- 9
- Issue
- 2
- Pages
- 1-22
- ISSN
- 1945-7782
- 1945-7790
- Cited by
- 458
- References
- 4
- Language
- en
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