Predictions derived from the rejection-identification model and research on collective action suggest that the recognition of discrimination can both motivate support for political rights and increase well-being by strengthening in-group identity. These researchers tested these predictions via cross-sectional (Study 1, n=1981) and longitudinal (Study 2, n=1373) analyses using data from a large national probability sample of Māori, collected as part of the New Zealand Attitudes and Values Study. Consistent with the extant research, Study 1 showed that perceived discrimination was directly linked with decreased life satisfaction, but indirectly linked with increased life satisfaction through higher levels of ethnic identification. Perceived discrimination was also directly linked with increased support for Māori rights and indirectly linked with increased support for Māori rights through higher levels of ethnic identification. Study 2 replicated these findings using longitudinal data and identified multiple bidirectional paths between perceived discrimination, ethnic identity, well-being, and support for collective action.