Abstract

We examine the effect of broadband Internet penetration on attitudes toward immi- grants by combining survey data from Spain with information on the characteristics of the telephone infrastructure. To address endogeneity concerns, we use landlines penetration in 1996 as an instrument for broadband diffusion, and use data from both the pre- and post-Internet period to estimate a difference-in-difference instrumental variable model. We document a positive effect of broadband Internet on attitudes toward immigrants. Looking at mechanisms, broadband Internet is associated with better knowledge about immigration, reduced concerns about the labor market effects of immigration and lower support for Spain’s right-wing party.

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