Hispanics choose vehicles that are about 5-8% more expensive

Visible Consumption and Race: Evidence from Auto-Loans. Konstantinos Tzioumis. U.S. Department of the Treasury Working Paper, July 2017.

Abstract: This paper uses auto-loan applications to assess differences in consumption preferences across races. After controlling for income and age, Whites and Blacks are found to have similar choices in terms of vehicle value, while Hispanics choose vehicles that are about 5-8% more expensive. These results add to the literature by drawing on documented choices rather than realized purchases.