Yes, but we have to go back further, to find the cause. Rather than the propaganda, which people willingly latch on to, I see the material circumstances as primary. And next is the individual decision of racists to make "weaker" people suffer for their benefit. People marked as targets by hegemonic structures. They do this to materially elevate themselves, to be actually better off. And short term, it works. In the mind of French racists, Muslims need to be disciplined to keep up wage disparity and keep Muslim workers doing the kind of work they don't want to do themselves, keep them living in the bad neighborhoods (banlieues) and so on. They don't need to understand economics for that. They see the difference in living standard every day.

This consciously evil decision comes first. They then go out and look for propaganda to deal with the resulting cognitive disconnance. To be able to go on thinking of themselves as "good" people. This theory is materialist in putting the real conditions first, dialectical in explaining how ideas arise and influence back the material and it also explains, why the propaganda can often be so incredibly bad: it doesn't need to be convincing. The racist has already made the decision to let themselves be convinced, before they seek out the propaganda. They are willing to accept anything that offers a band aid on their aching psyche after they wounded it themselves by deliberately suppressing their inborn human empathy in a consciously evil act.