Although the social context of a court is often claimed to be important to understanding the effect of the offender's race on punishment decisions, the links between context and racial disparities in punishment decisions are not well understood. I propose and test four hypotheses involving elements that may link social context to racial disparities in punishment decisions: urbanization, racial threat, economic threat, and crime control. I test these four hypotheses with sentencing data from the Pennsylvania Commission on Sentencing for the period 1991 to 1994. The main findings are as follows: (1) punishment severity varies by court jurisdiction, even after controlling for offender and case characteristics; (2) racial disparities vary by court jurisdiction, with controls for other offender and case characteristics; (3) measures of social context explain little of the contextual variation in punishment decisions for all offenders; and (4) measures of social context do not explain racial disparities in punishment decisions. Thus, I find convincing evidence of contextual variation in punishment decisions, but typical indicators of social context do not explain these variations.