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A field study of rental market discrimination across origins in France
Institution:1. Deutsches Institut für Wirtschaftsforschung (DIW), Mohrenstr. 58, Berlin 10117, Germany;2. Norwegian Business School (BI), Nydalsveien 37, Oslo N-0442, Norway;3. Vrije Universiteit Brussel (VUB), Pleinlaan 2, Brussels B-1050, Belgium;1. Department of Economics, The University of Auckland, Auckland, New Zealand;2. Bureau of Economic Analysis, Washington, DC, USA;1. National Graduate Institute for Policy Studies, Tokyo, Japan;2. Osaka University of Economics, Osaka, Japan;3. Sauder School of Business, University of British Columbia, Vancouver, BC, Canada;1. Department of Economics, University of California, Berkeley, CA 94720, USA;2. Department of Economics, The Hebrew University, Jerusalem 91905, Israel
Abstract:Discrimination against particular groups in the housing market increases search costs and limits optimal matching, thus resulting in economic and social inefficiencies. This paper tests for the existence of discrimination in the French rental market against individuals with names which signal their connection to five immigrant groups (Northern Africa, Sub-Saharan Africa, Turkey, Poland, Portugal-Spain) by implementing an online field study using one of France's largest online advertisements website. The results show that applicants with foreign sounding names coming from Northern Africa, Sub-Saharan Africa and Turkey are 16 to 22 percentage points less likely to receive a response than applicants with French names or names associated with Poland, Portugal or Spain. In addition, when applicants with foreign sounding names from any origin receive a response, it is significantly more likely to be negative or include a request for more information than responses to emails including French sounding names. Finally, we find some geographic differences in response rate differentials that are correlated with differences in the local income and share of immigrants. This provides evidence that landlords use names as a proxy for economic and other sociodemographic characteristics.
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