This research examines the individual-level and contextual correlates of punitive attitudes in the United States. Prior research suggests that the demographic composition and economic conditions of geographic areas influence public support for punitive policies. Yet, these findings rest on assumptions about individual perceptions of minority groups as threatening. This work builds on the threat framework by measuring the concept of "perceived threat" and examining the association between aggregate social conditions, perceived threat and punitive sentiments. Analysis of newly collected data suggests that individual perceptions of African Americans as threatening to economic resources is a strong predictor of punitive attitudes. In addition, respondents residing in areas with higher unemployment rates and places that experienced a recent increase in the size of the African American population are more punitive. The latter effect is largely mediated by perceptions of African Americans as threatening to material resources for white respondents. The results agree with racial threat perspectives on social control, but we go beyond extant research by unpacking the micro-level processes that are central to the threat hypothesis. (Contains 2 tables, 3 figures and 21 notes.)