Do Earmarks Target Low-Income and Minority Communities? Evidence from US Drinking Water

Abstract

The quality and inequality of US drinking water investments have gained attention after recent environmental disasters in Flint, Michigan, and elsewhere. We compare the targeting of subsidized loans provided through the Safe Drinking Water Act with the targeting of congressional drinking water earmarks (“pork barrel” spending). Earmarks are critiqued for potentially privileging wealthier and politically connected communities. We find that earmarks target Black, Hispanic, and low-income communities, partly due to targeting water systems serving large populations. Earmark and loan targeting differ across all demographics we analyze. Compared to loans, earmarks disproportionately target Hispanic but not Black or low-income communities.