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Rationality, Ethnicity And Institutions: A Survey Of Issues And Results

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  • Andreas P. Kyriacou

Abstract

This paper focuses on the relationship between institutions and ethnocentrism as discussed in the rational choice literature. The institutional environment can influence both the formation and the expression of ethnic tastes by rational individuals. Ethnocentrism is likely to be mitigated by, on the one hand, a private sector characterized by a wide and competitive market with effective property right and antitrust law enforcement provided by non-ethnic institutions and, on the other hand, a public sector which is characterized by institutional restrictions on the differential fiscal or regulatory treatment on the basis of ethnicity, a redistributive system based on non-ethnic criteria and finally, the possibility for decentralized collective decision making. These insights may be of particular utility when designing the institutions of potentially divided multi-ethnic states. Copyright Blackwell Publishers Ltd, 2005.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Economic Surveys.

Volume (Year): 19 (2005)
Issue (Month): 1 (02)
Pages: 23-42

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Handle: RePEc:bla:jecsur:v:19:y:2005:i:1:p:23-42

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Cited by:
  1. Klaus Abbink & Jordi Brandts, 2007. "Political Autonomy and Independence: Theory and Experimental Evidence," Labsi Experimental Economics Laboratory University of Siena 013, University of Siena.
  2. Nicola Genovese & Maria Grazia La Spada, 2006. "Diversity and Pluralism: An Economist's View," Working Papers 2006.62, Fondazione Eni Enrico Mattei.
  3. Alberto Alesina & Eliana La Ferrara, 2003. "Ethnic Diversity and Economic Performance," Harvard Institute of Economic Research Working Papers 2028, Harvard - Institute of Economic Research.
  4. Klaus Abbink & Jordi Brandts, 2007. "Political Autonomy and Independence: Theory and Experimental Evidence," Working Papers 302, Barcelona Graduate School of Economics.
  5. Dalibor Roháč, 2009. "Why did the Austro-Hungarian Empire collapse? A public choice perspective," Constitutional Political Economy, Springer, vol. 20(2), pages 160-176, June.
  6. Klaus Abbink & Jordi Brandts, 2009. "Political autonomy and independence: Theory and experimental evidence," Working Paper series, University of East Anglia, Centre for Behavioural and Experimental Social Science (CBESS) 09-12, School of Economics, University of East Anglia, Norwich, UK..
  7. Andreas Kyriacou, 2010. "George A. Akerlof and Rachel E. Kranton: Identity economics. How our identities shape our work, wages, and well-being," Public Choice, Springer, vol. 145(1), pages 325-328, October.

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