(Preliminary and Incomplete – Do not cite or circulate):

Understanding how racial preferences are formed is critical for addressing the underlying causes of racial discrimination. We examine whether white men’s preferences for African Americans change based on the number and type of African Americans with whom they interact. To overcome selection bias, we exploit data from the U.S. Air Force Academy in which freshmen were randomly assigned to squadrons. Results indicate the aptitude of black students to whom white men were assigned has statistically significant effects on both stated and revealed preferences. Specifically, whites assigned to higher-aptitude black students have more favorable opinions of African Americans in general and are more likely to room with black students the following year. In contrast, we find that ceteris paribus, exposure to more African Americans does not significantly affect stated or revealed racial preferences. Joint with Mark Hoekstra and James E. West.