Racism encompasses both the belief that people belong to distinct races with innate hierarchical differences that can be measured and judged; and the practice of treating people differently on the basis of their race.

Racism encompasses both prejudice, the belief that people belong to distinct races with innate hierarchical differences that can be measured and judged; and discrimination, the practice of treating people differently on the basis of their race.

Prejudice against people who belong to certain races involve attitudes and beliefs about them based on stereotypes that are not always accurate. Examples of prejudiced beliefs can include: "Asians are smart", "Muslims are terrorists" or "Americans are ignorant". 

Discrimination on the other hand involves behaviors and actions towards individuals of certain races based on prejudices. Examples of discrimination include: making fun of someone's skin color or ethnicity, and not hiring a candidate for a job on the basis that he/ she belongs to an ethnic minority.