Does the racial makeup of candidates influence campaign contributions? New data on 27 million donors reveals minorities contribute at lower rates than their population shares. However, this study finds that when minority candidates run for US House seats, they increase overall minority giving without harming fundraising competitiveness.

Data & Methods: Using anonymized FEC records and voter registration datasets

Key Findings: Regression discontinuity and difference-in-differences analyses show a significant uptick in minority contributions following the nomination of minority candidates. This effect appears across partisan lines, though white contributions decrease specifically for black Democrat and Republican/Latino Republican campaigns.

Real-World Relevance: These findings suggest diverse candidate slates can enhance democratic representation financially, even while facing headwinds against fundraising. Minority representation in politics may foster greater political engagement among communities.