PreprintCited by 471Names, Identity, and Discrimination ResearchSharing Economy and PlatformsEthics and Social Impacts of AI

Digital Discrimination: The Case of Airbnb.com

Open access
Edelman, Benjamin G., Luca, Michael·2014·SSRN Electronic Journal

Abstract

Online marketplaces often contain information not only about products, but also about the people selling the products. In an effort to facilitate trust, many platforms encourage sellers to provide personal profiles and even to post pictures of themselves. However, these features may also facilitate discrimination based on sellers’ race, gender, age, or other aspects of appearance. In this paper, we test for racial discrimination against landlords in the online rental marketplace Airbnb. Using a new data set combining pictures of all New York City landlords on Airbnb with their rental prices and information about quality of the rentals, we show that non-black hosts charge approximately 12% more than black hosts for the equivalent rental. These effects are robust when controlling for all information visible in the Airbnb marketplace. These findings highlight the prevalence of discrimination in online marketplaces, suggesting an important unintended consequence of a seemingly-routine mechanism for building trust.

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Registry

Crossref · 10.2139/ssrn.2377353

Cites

15 of 15 references verified0 citation errors · 0 not checkable

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  • African-American guests are discriminated against on Airbnb, and African-American hosts earn about 12% less than White hosts for similar listings.

    “African-American guests (and hosts) are discriminated against on Airbnb in a way that would be infeasible under different design choices (Edelman and Luca 2014, Edelman, Luca, and Svirsky 2016). Looking at listings in New York City, Edelman and Luca (2014) find that AfricanAmerican hosts earn about 12% less than White hosts for similar listings.”

    From Designing Online Marketplaces: Trust and Reputation Mechanisms (2016) · cites this paper as Edelman and Luca 2014

  • Black hosts in New York, on average, must ask 12% less than non-black hosts for lodgings of similar quality.

    “Black hosts in New York, on average, must ask 12% less than non-black hosts for lodgings of similar quality (Edelman & Luca, 2014).”

    From Trust and power in Airbnb's digital rating and reputation system (2025) · cites this paper as Edelman & Luca, 2014

  • Evaluative infrastructure can accentuate discrimination based on pre-existing distinctions.

    “Secondly, instead of opening up possibilities for knowledge creation, evaluative infrastructure can accentuate discrimination based on pre-existing distinctions (Gillespi, 2010: Edelman & Luca, 2014).”

    From Evaluative infrastructures: Accounting for platform organization (2017) · cites this paper as Edelman & Luca, 2014

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Authors
Edelman, B. G., & Luca, M.
Affiliations
  • Microsoft (United States) (US)
  • Harvard University (US)
Corresponding author
Luca, Michael
Venue
SSRN Electronic Journal
Publisher
Elsevier BV
Published
2014
ISSN
1556-5068 (ISSN-L)
OpenAlex
W2113764854
Cited by
471
References
16
Citations by year
2026: 7 · 2025: 23 · 2024: 28 · 2023: 24 · 2022: 63 · 2021: 52 · 2020: 50 · 2019: 70 · 2018: 55 · 2017: 49 · 2016: 31 · 2015: 16 · 2014: 2
Type
posted content
Language
en
Open access
Locations
  • SSRN Electronic Journal (acceptedVersion)
  • RePEc: Research Papers in Economics (submittedVersion)
Topics
  • Social Sciences › Sociology and Political Science › Names, Identity, and Discrimination Research
  • Social Sciences › Business, Management and Accounting › Marketing › Sharing Economy and Platforms
  • Social Sciences › Safety Research › Ethics and Social Impacts of AI
Keywords
racial discrimination, Airbnb, landlords, rental pricing, appearance-based discrimination, New York City, housing discrimination

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