Abstract
A study in the U.S.–Mexican intergroup context examined how collective relative gratification (RG) versus deprivation affects the relationship between intergroup contact and interpersonal closeness and subtle prejudice towards an out‐group. Participants were Mexican university students in Mexico (N = 239) and non‐Mexican students in California (N = 90). As predicted, Mexicans experienced less gratification/higher relative deprivation (RD), and low quality intergroup contact and expressed lower interpersonal closeness and higher subtle prejudice than U.S. Americans. Differences between countries were larger amongst participants reporting higher RD. Second‐stage moderated mediation analysis showed that the mediating effects of contact between country and interpersonal closeness and subtle prejudice, respectively, were larger amongst participants who felt relatively gratified than those who felt relatively deprived. These findings underline the importance of recognizing the moderating effect of differences in the RG versus RD levels of minority and majority groups when anticipating the potential benefits of intergroup contact for prejudice reduction.