Can the Black Lives Matter Movement Reduce Racial Disparities? Evidence from Medical Crowdfunding

Kaixin Liu, Jiwei Zhou and Junda Wang

Papers from arXiv.org

Abstract: Using high-frequency donation records from a major medical crowdfunding site and careful difference-in-difference analysis, we demonstrate that the 2020 BLM surge decreased the fundraising gap between Black and non-Black beneficiaries by around 50\%. The reduction is largely attributed to non-Black donors. Those beneficiaries in counties with moderate BLM activities were most impacted. We construct innovative instrumental variable approaches that utilize weekends and rainfall to identify the global and local effects of BLM protests. Results suggest a broad social movement has a greater influence on charitable-giving behavior than a local event. Social media significantly magnifies the impact of protests.

Date: 2023-10, Revised 2023-11
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