Neighborhoods, Perceived Inequality, and Preferences for Redistribution: Evidence from Barcelona

I study the effects of neighborhoods on perceived inequality and preferences for redistribution. Using administrative data universe dwellings real estate transactions in Barcelona (Spain), construct a novel measure local — Local Neighborhood Gini (LNG). The LNG is based spatial distribution housing within city, independent boundaries, building-specific. elicit perceptions redistribution from an original large-scale survey conducted Barcelona. link those to respondents' specific environments using exact addresses. find that one standard deviation increase associated with 4% higher inequality, but (if anything) lower demand Residential sorting explains counter-intuitive pattern. To causally identify environments, exploit within-neighborhood variation rise new apartment buildings as quasi-experiment. Exposure shifts by 7% 2.5%. finally cross-neighborhood information about experiment explore whether more distant also play role. treatment does not yield significant effects, consistent idea what close relevant. Neighborhoods shape (to lesser extent)