Abstract

Equal access to public services is a foundational element of democratic societies. Yet, stark inequalities in access to public services persist, partially due to bureaucratic discrimination, or differential treatment by bureaucrats. This study investigates the causal mechanism of bureaucratic discrimination, arguing that racial discrimination can serve as a means of cream skimming, when there are economic incentives to prioritize easier-to-serve clientele. We predict that in the absence of information regarding prospective clients’ performance, group-level performance information will be imposed on racially minoritized individuals. We implemented a nationwide email correspondence audit experiment including all charter school principals in the U.S. (n = 5850). The findings show that Black email aliases faced significantly higher administrative burdens in trying to get access to charter schools than White email aliases when no performance signal was provided. However, when a direct signal of clients’ performance was introduced, the racial disparities diminished. Overall, these results provide evidence on the causal mechanism of bureaucratic discrimination as a means of cream-skimming.

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