Race Effects on Ebay
Yale University - Yale Law School; Yale University - Yale School of Management
Mahzarin R. Banaji
Harvard University - Department of Psychology; Harvard University - Edmond J. Safra Center for Ethics
Yale Law School; National Bureau of Economic Research (NBER)
September 27, 2011
We investigate the impact of seller race in a field experiment involving baseball card auctions on eBay. Photographs showed the cards held by either a dark-skinned/African-American hand or a light-skinned/Caucasian hand. Cards held by African-American sellers sold for approximately 20% ($0.90) less than cards held by Caucasian sellers, and the race effect was more pronounced in sales of minority player cards. Our evidence of race differentials is important because the on-line environment is well controlled (with the absence of confounding tester effects) and because the results show that race effects can persist in a thick real-world market such as eBay.
Number of Pages in PDF File: 50
Date posted: September 29, 2011
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