APPLIED MICRO: Professor Frederico S Finan (University of California, Berkeley)

Decoupling Taste-Based versus Statistical Discrimination in Elections

We present a methodology for decoupling taste-based versus statistical discrimination in political behavior. We combine a flexible empirical model of voting, featuring vertical and horizontal candidate differentiation in gender, ability, and policy positions, with a large-scale micro-targeted electoral experiment aimed at increasing female candidate vote shares. Our structural econometric approach allows to separately identify preference parameters driving taste-based discrimination and beliefs parameters driving statistical discrimination through expectations about ability and policy positions of female politicians. Our application to Brazilian municipal elections uncovers substantial levels of taste-based and statistical discrimination. Counterfactual political campaigns show promise in reducing both.