scispace - formally typeset
Open AccessJournal ArticleDOI

Better residential than ethnic discrimination! Reconciling audit and interview findings in the Parisian housing market

TLDR
The authors investigated discrimination and the interplay of residential and ethnic stigma on the French housing market using two different methods, paired-testing au-dit study of real estate agencies and face-to-face interviews with real estate agents.
Abstract
This article investigates discrimination and the interplay of residential and ethnic stigma on the French housing market using two different methods, paired-testing au- dit study of real estate agencies and face-to-face interviews with real estate agents. The juxtaposition of their findings leads to a paradox: interviews reveal high levels of ethnic discrimination but little to none residential discrimination, while the audit study shows that living in deprived suburbs is associated with a lower probability of obtaining an appointment for a housing vacancy but ethnic origin (signaled by the candidate’s name) has no significant discriminatory effect. We have three priors po- tentially consistent with this apparent paradox and re-evaluate their likelihood in light of these findings: (i) agents make use of any statistical information about insolvency, including residency; (ii) there are two distinct and independent taste discriminations, one about space and one about ethnicity; (iii) these two dimensions exist and comple- ment each other.

read more

Content maybe subject to copyright    Report

Bonnet, F., Lale, E., Safi, M., & Wasmer, E. (2016). Better residential
than ethnic discrimination! Reconciling audit and interview findings in
the Parisian housing market.
Urban Studies
,
53
(13), 2815-2833.
https://doi.org/10.1177/0042098015596107
Peer reviewed version
Link to published version (if available):
10.1177/0042098015596107
Link to publication record in Explore Bristol Research
PDF-document
This is the author accepted manuscript (AAM). The final published version (version of record) is available online
via Sage at http://usj.sagepub.com/content/53/13/2815. Please refer to any applicable terms of use of the
publisher.
University of Bristol - Explore Bristol Research
General rights
This document is made available in accordance with publisher policies. Please cite only the
published version using the reference above. Full terms of use are available:
http://www.bristol.ac.uk/red/research-policy/pure/user-guides/ebr-terms/

Better residential than ethnic discrimination!
Reconciling audit and interview findings
in the Parisian housing market
François Bonnet
, Etienne Lalé
, Mirna Safi
§
, Etienne Wasmer
This version: January 2015
Abstract
This article investigates discrimination and the interplay of residential and ethnic stigma
on the French housing market using two different methods, paired-testing audit study of real
estate agencies and face-to-face interviews with real estate agents. The juxtaposition of their
findings leads to a paradox: interviews reveal high levels of ethnic discrimination but little to
none residential discrimination, while the audit study shows that living in deprived suburbs is
associated with a lower probability of obtaining an appointment for a housing vacancy but eth-
nic origin (signaled by the candidate’s name) has no significant discriminatory effect. We have
three priors potentially consistent with this apparent paradox and re-evaluate their likelihood
in light of these findings: (i) agents make use of any statistical information about insolvency,
including residency; (ii) there are two distinct and independent taste discriminations, one about
space and one about ethnicity; (iii) these two dimensions exist and complement each other.
Keywords: Audit, Discrimination, Neighborhood Effects, Housing
JEL codes: J71, R23
This research was financed under the grants 2007 ANR-07-1210254 (DISCRI-SEGRE), ANR-10-BLANC-1819-
01(EVALPOLPUB), ANR-11-LABX-0091, ANR-11-IDEX-0005-02. We are grateful to Lorraine Pinto and Lucile
Romanello for their contribution early on in this project. We also thank Aurélien Chauvier, Augustin Célier, Fatima
Hocini, Mohamed El Dahshan, Alberic de Gayardon and Jean de Saint-Chéron for research assistance. Comments by
participants at the Sciences Po workshop on discrimination and segregation, notably David Latin and Jeffrey Zax were
most useful.
CNRS, UMR Pacte.
Department of Economics, University of Bristol.
§
Department of Sociology, Sciences Po, OSC, CNRS.
Sciences Po, Department of Economics and LIEPP.
1

Introduction
Ethnic minorities are often concentrated in underprivileged neighborhoods in Western societies (John-
ston, Poulsen and Forrest, 2007; Musterd, 2005; Peach, Robinson and Smith, 1981). Emanating from
discriminatory processes, ethnic segregation may also lead in turn to “residential traps” that affect mi-
nority populations’ socioeconomic achievements, from access to education to economic success and the
building of social networks (Crane, 1991; Sampson, Morenoff and Gannon-Rowley, 2002).
While there is a wide range of literature on the cumulative aspect of residential and ethnic/racial
inequalities in the United States (Denton and Massey, 1993; Wilson, 1978, 1987), the interaction between
ethnic and residential stigma has seldom been analyzed in audit studies on housing discrimination; to our
knowledge, the only exception is a study of the credit market by Ross and Yinger (2002).
1
Chronic urban riots in the French banlieues in 2005 once again raised the question of ethnic minorities
in France (Waddington, Jobard and King, 2013), and yet urban studies carried out in France rarely con-
sider ethnicity in general and ethnic discrimination in the housing market in particular. Some exceptions
can be found in the form of recent works providing evidence of both residential and ethnic discrimination;
these are reviewed below. By “residential discrimination” we mean discriminatory decisions precisely
oriented against the ability of individuals to choose their residential area. This practice has been explicitly
illegal in France since 14 December 2013: residential discrimination is the 20th criterion for assessing
whether discrimination against individuals has taken place.
2
France is an interesting case to study discrimination because the country ostensibly promotes a color-
blind ideal of race relations (Sabbagh and Peer, 2008; Safi, 2008; Simon, 2008). For instance, the French
Republican model forcefully rejects ethnicity, culture, and religion as a basis for political organization,
claims-making, and even as the basis of categories for official statistics. Ethnicity per se is therefore
not reported in any public-sector statistical survey in France, which makes it difficult for race-based
affirmative action to be enforced and for inequality to be documented through representative data.
In light of the above, our article aims at analyzing the relationship between ethnic origin (specifically
North African descent) and residential origin (residency in a deprived neighborhood), in a potentially dis-
criminatory interaction in the housing market in France. Our goal is to explore how ethnic and residential
stigma can be disentangled in the measurement of discrimination by analyzing practices and discourses
relating to the overlap between these two criteria. To this end, we employ two methodological designs:
An experimental paired-testing audit study, in the tradition of statistical analyses of discrimination,
which aims to measure the interaction of ethnic and residential effects.
A qualitative study, based on interviews with real-estate agents who were asked open-ended ques-
1
The link between racial and spatial stigma has been explored more frequently in qualitative research; see for instance
Kirschenman and Neckerman (1991).
2
It should be noted that residential location in deprived and segregated areas has also considerable legal socioeconomic
consequences, well documented in the urban literature, undermining people’s life chances in terms of education, health,
employment, etc.
2

tions about the selection process for housing applicants.
3
Each method has its own advantages and limitations. While the audit study actually measures the effect
which the two dimensions have on discrimination, it does not detail the mechanisms underlying ethnic
and residential stigma. Conversely, face-to-face interviews provide discursive evidence on discrimination
and describe its underlying micro-social processes, but do not assess the magnitude of discriminatory
practices. The complementary use of both methods helps overcome the shortcomings of each. In fact,
the juxtaposition of our audit and interview findings leads to a double paradox:
1. Although real estate agents believe ethnic discrimination to be widespread, it is not statistically
significant in an audit study that controls for residential origin but it is when residential origin is
not controlled for.
2. Although real-estate agents do not mention residential discrimination, the audit findings suggest
that it is statistically significant.
This article analyzes this discrepancy highlighted in many studies of discrimination between discourses
and practices, and attempts to provide interpretations of it. We first review the research background and
present our two sets of findings, and then we attempt to decode the double paradox that emerges from
them. We then review the various hypotheses consistent with these findings that may help us explain the
paradox.
1 The relationship between residence-based and ethnic discrimina-
tion in housing: Background and hypotheses
1.1 Space and ethnicity in discrimination studies
There is now extensive sociological and economic literature showing, through survey results, that residen-
tial location has a significant effect on employment, education and crime, among other things (Brueckner
and Zenou, 2003; Fernandez and Su, 2004; Sampson and Sharkey, 2008). Despite the well-documented
role played by segregation and residential location in the production and perpetuation of inequality, the
concept of “residential discrimination” has seldom been used and its effect is rarely measured in au-
dit studies on discrimination. Conversely, ethnic and racial discrimination in American cities has been
measured with audit studies for more than three decades (Committee on National Statistics, 2002, 2004;
Fix and Struyk, 1993). These studies regularly document the unequal treatment disadvantaging ethnic
and racial minorities at various stages in the housing search on both the rental and ownership markets
(Turner et al., 2013). The 2012 study by the U.S. Department of Housing and Urban Development (HUD)
3
The agents audited are not necessarily the same as those interviewed, and we will explain why this is not of consequence
below.
3

showed in particular that, of all ethnic groups, Hispanics face the highest levels of discrimination on the
rental market (followed by Blacks and Asians); for example, they become aware of roughly 12% fewer of
the housing units available than white housing applicants when they contact real-estate agents to inquire
about recently advertised properties.
Comparisons of the HUD’s findings over time show that although “blatant” discrimination has de-
clined, with minority applicants now less likely to have a door slammed in their faces, overall unequal
treatment remains high because of more subtle forms of discrimination. For example, minority applicants
are more likely to be told that they must talk to a lender before being shown an advertised home for sale,
whereas a white tester is more likely to meet with the agents without being asked about prequalification.
This changing framing of discriminatory practices challenges the methods which pair-testing studies have
traditionally used to measure discrimination and requires more attention to several details in the nature
and quality of the interactions between the testers and the audited agencies or landlords.
Finally, in the majority of studies, evidence on ethnic and racial discrimination is interpreted as being
related to conscious motivations and taste-based mechanisms.
4
This is corroborated by some findings on
ethnic and racial neighborhood preferences highlighting whites’ unwillingness to live in neighborhoods
with a high proportion of ethnic minorities, particularly African Americans (Charles, 2009). Finally, in
an audit similar to ours, Ahmed and Hammarstedt (2008) find that male applicants on the rental market
with a Swedish name are much more likely to be called back than those with Arab names; evidence for
female applicants is less categorical.
1.2 Review of discrimination and immigration studies in the French context
Studies such as those cited above have rarely been conducted in France, and research on ethnic segre-
gation and discrimination in the area of housing has emerged only recently there. Most scholars have
analyzed ethnic segregation as being directly linked to “color-blind” market mechanisms of social strat-
ification. Recent studies challenge this, however, showing that ethnic segregation is more prevalent than
socioeconomic segregation and that it decreases very slowly (Préteceille, 2009; Rathelot and Safi, 2014;
Safi, 2009; Verdugo, 2011). French government statistics on housing also document considerable inequal-
ity between natives and immigrants. Such inequality occurs with regard to not only housing access and
tenure, but also housing quality, in terms of factors such as amenities and apartment size (Barou, 2002;
Breem, 2009). The immigrants’ housing situation is particularly disadvantaged for non-Europeans and
is resistant to standard socioeconomic controls, suggesting underlying ethnic discrimination. In a recent
comprehensive survey on immigration and discrimination, first- and second-generation immigrants were
shown to report twice as much discrimination in housing access as natives of non-immigrant background
(Pan Shon and Scodellaro, 2011; Safi and Simon, 2014). Controlling for socioeconomic variables
suggests that ethnic or racial discrimination may, at least partly, be at play. In the same survey (TeO), the
4
Taste-based discrimination still seems to be a major mechanism explaining persisting unequal treatment toward African
Americans in the US labor market (Bertrand and Mullainathan, 2004).
4

Citations
More filters
Journal Article

Urban Outcasts: A comparative sociology of advanced marginality

Alan Latham
- 01 Sep 2008 - 
TL;DR: Wacquant et al. as mentioned in this paper show that the involution of America's urban core after the 1960s is due not to the emergence of an "underclass", but to the joint withdrawal of market and state fostered by public policies of racial separation and urban abandonment.
Journal ArticleDOI

Closed doors everywhere? A meta-analysis of field experiments on ethnic discrimination in rental housing markets

TL;DR: For the first time, the authors showed that discrimination is a meaningful factor for ethnic inequalities on rental housing markets, but empirically, the extent of discrimination is still debatable, and it is not clear how much discrimination occurs.
References
More filters
Book

The Nature of Prejudice

TL;DR: In this article, the authors describe the dynamics of prejudgment, including: Frustration, Aggression and Hatred, Anxiety, Sex, and Guilt, Demagogy, and Tolerant Personality.
Journal ArticleDOI

The truly disadvantaged : the inner city, the underclass, and public policy

TL;DR: Wilson's "The Truly Disadvantaged" as mentioned in this paper was one of the sixteen best books of 1987 and won the 1988 C. Wright Mills Award of the Society for the Study of Social Problems.
Journal ArticleDOI

American Apartheid: Segregation and the Making of the Underclass.

TL;DR: In this paper, the authors argue that racial segregation is crucial to explaining the emergence of the urban underclass during the 1970s and that a strong interaction between rising rates of poverty and high levels of residential segregation explains where, why and in which groups the underclass arose.
Journal ArticleDOI

ASSESSING "NEIGHBORHOOD EFFECTS": Social Processes and New Directions in Research

TL;DR: In this article, the cumulative results of a new "neighborhood-effects" literature that examines social processes related to problem behaviors and health-related outcomes are assessed and synthesized.
Book

The Economics of Discrimination

TL;DR: The second edition of "The Economics of Discrimination" has been expanded to include three further discussions of the problem and an entirely new introduction which considers contributions made by others in recent years and some of the more important problems remaining as discussed by the authors.
Related Papers (5)
Frequently Asked Questions (9)
Q1. What contributions have the authors mentioned in the paper "Reconciling audit and interview findings in the parisian housing market∗" ?

This article investigates discrimination and the interplay of residential and ethnic stigma on the French housing market using two different methods, paired-testing audit study of real estate agencies and face-to-face interviews with real estate agents. The juxtaposition of their findings leads to a paradox: interviews reveal high levels of ethnic discrimination but little to none residential discrimination, while the audit study shows that living in deprived suburbs is associated with a lower probability of obtaining an appointment for a housing vacancy but ethnic origin ( signaled by the candidate ’ s name ) has no significant discriminatory effect. The authors have three priors potentially consistent with this apparent paradox and re-evaluate their likelihood in light of these findings: ( i ) agents make use of any statistical information about insolvency, including residency ; ( ii ) there are two distinct and independent taste discriminations, one about space and one about ethnicity ; ( iii ) these two dimensions exist and complement each other. 

Further research should therefore explore the implications of such proxying processes on the measurement of discrimination. Further research combining qualitative insights and systematic data may help us resolve this. 

While Europeans constitute the majority of first- and second-generation immigrants in France, the most recent waves increasingly come from former French colonies (Algeria, Morocco, Tunisia and sub-Saharan Africans, mainly for Francophone West Africa) (INSEE, 2012). 

The upper-right cell reports cases where the minority candidates was treated better than the majority candidate, which occurred in just 13.9% of cases. 

One of the most comprehensive audit studies, conducted jointly by the ministry of labor and the International Labour Organization, shows that, four times out of five, employers prefer mainstream candidates to strictly identical candidates of African immigrant background (Cediey and Foroni, 2008). 

when two stigmas are so interconnected in social representations, substitution mechanisms can take place when one stigma proxies another. 

Some elements in the interviews support the fact that residence may be used as a proxy for ethnicity, and in fact the very few interviewees who elaborated on the question about residential discrimination mentioned “cultural arguments” directly linked to ethnic origin: fluency and accent in French. 

The qualitative interviews lead to the elimination of one of the three hypotheses posited in Section 1.3, which suggested that there may exist a form of pure discrimination against a type of area of residence. 

This was the main finding of LaPiere (1934)’s classic study of discrimination in hotels (people discriminate less than they express prejudice).