Ridiculously untrue. A hostile atmosphere, at work, at home, or in the broader public arena negatively affects people’s lives in very real ways. Hurting someone emotionally is often much more traumatic and longer lasting than a physical assault. Imagine that type of emotional assault constantly occurring day after day. Imagine what being constantly demeaned and insulted does to one’s ego and expectations in all matters involved in getting through a day.
Further, the hostile atmosphere inevitably seeps into the brains of those controlling very concrete aspects of life: hiring, promotions, grading in schools, access to housing, etc. i can’t think of any society with a racist atmosphere where that racism did not also manifest by limiting the opportunities available to the minority population, by how they were treated in business interactions, at school, at work, by the police, etc.