Posted by Ilya Somin:
Political Ignorance and Blaming "the Jews" for the Economic Crisis:
http://volokh.com/archives/archive_2009_05_17-2009_05_23.shtml#1242876352


   Political scientists Neil Malhotra and Yotam Margalit have [1]an
   article describing survey data showing that some 25% of Americans
   believe that "the Jews" deserve at least "a moderate amount" or "a
   great deal" of blame for the current economic crisis. Some 32% of
   self-identified Democrats and 18% of Republicans take that view.
   Similar results were obtained in [2]a recent survey of opinion in
   several European nations.

   I. Blaming the "Jews" as a Consequence of Rational Political
   Ignorance.

   These figures are shocking, but not as surprising as they might seem.
   Previous surveys show that [3]large percentages of the public endorse
   a variety of ridiculous conspiracy theories about political and
   economic events. As I explained in the post linked in the previous
   sentence, such beliefs are in large part the result of [4]widespread
   "rational ignorance" about politics. Because any one vote has only an
   infinitesmal chance of affecting electoral outcomes, there is little
   incentive to spend time acquiring political information in order to
   become a better-informed voter; consequently, [5]most citizens know
   very little about politics and public policy.

   People who are ignorant about politics are more likely to endorse
   crude or simplistic explanations for political events. "The Jews did
   it" is a much simpler explanation for the financial crisis than a
   variety of complex policy errors that most voters don't know about and
   might not understand it if they did. Unfortunately, Malhotra and
   Margalit don't provide data correlating general political ignorance
   with belief in an anti-Semitic explanation for the crisis. However,
   they do note that blaming the Jews is inversely correlated with
   education; only 18% of respondents with bachelor's degrees blame the
   Jews at least a "moderate amount." By contrast, that view is held by
   27% of respondents with lesser educational attainment. Obviously,
   education is highly correlated with political knowledge.

   II. Blaming "the Jews" as a Form of "Rational Irrationality."

   Simple ignorance is not, of course, the sole explanation for
   widespread belief in anti-Semitic explanations of the financial
   crisis. Also relevant is the fact that [6]most people are highly
   biased in their evaluation of whatever political information they do
   know"rational irrationality."
   Thus, a person with preexisting anti-Semitic prejudices (perhaps a
   belief tha Jews have excessive influence over banking and finance) is
   likely to interpret whatever she hears about the financial crisis in
   light of those biases. A [7]2007 ADL survey conducted before the
   current crisis found that 18% of American gentiles believe that Jews
   have "too much control/influence on Wall Street" and 20% think that
   they have "too much power in the business world." These figures are
   comparable to the 25% who today blame the crisis in large part on the
   Jews, and suggest that many of those who blame the Jews do so in part
   because of preexisting anti-Semitic biases. Obviously, such biases are
   reinforced by simple ignorance. The less you know about economics and
   public policy, the less likely you are to be aware of more
   sophisticated explanations of the crisis, and the more likely you are
   to fall back on crude prejudices in trying to understand it.

   III. Does it Matter?

   Many readers probably assume that the answer to this question is
   obvious. If large numbers of people blame the Jews for the financial
   crisis, there might be an anti-Semitic backlash or even violence
   against Jews. In the US, however, there has been very little such
   backlash so far, and anti-Semitism is largely absent from mainstream
   political discourse.

   The more subtle and perhaps more important effect of these attitudes
   is in their impact on public opinion about how to respond to the
   crisis. If you believe that the crisis was in large part caused by the
   misdeeds of "the Jews," that is likely to affect your evaluation of
   how to respond to it. Malhotra and Margalit present some preliminary
   data suggesting such effects, finding that survey respondents reminded
   of Bernie Madoff's Jewishness are more likely to oppose corporate tax
   cuts to "create jobs" as a potential remedy for the recession. That
   effect, however, is likely to be just the tip of the iceberg of
   possible interactions between belief in anti-Semitic explanations for
   the crisis and beliefs about appropriate remedies.

   Obviously, public opinion is not the only determinant of government
   policy. But it often does have a substantial impact. To the extent
   that opinion is influenced by ridiculous conspiracy theories
   (anti-Semitic or otherwise), that impact is unlikely to be positive.

References

   1. http://bostonreview.net/BR34.3/malhotra_margalit.php
   2. 
http://www.adl.org/Public%20ADL%20Anti-Semitism%20Presentation%20February%202009%20_3_.pdf
   3. file://localhost/var/www/powerblogs/volokh/posts/1242876352.html
   4. http://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=333339
   5. http://www.cato.org/pub_display.php?pub_id=2372
   6. http://volokh.com/posts/1222317278.shtml
   7. http://www.adl.org/Anti_semitism/poll_2007/Anti-Semitism%20Poll%202007.pdf

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