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Ethnic Diversity and Social Capital in Indonesia

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  • Mavridis, Dimitris

Abstract

This paper uses the variations of ethnic diversity between districts in Indonesia to show that diversity leads to lower social capital outcomes. I find that distinguishing between ethnic polarization and fractionalization matters for the results, as polarization has a larger negative effect. The results cannot entirely be attributed to selection on unobservables, and at least part of the relationship should be interpreted as causal. Finally, diversity seems to increase tolerance, despite its negative effect on other social capital variables such as trust, perceived safety, and participation to community activities, and voting in elections.

Suggested Citation

  • Mavridis, Dimitris, 2015. "Ethnic Diversity and Social Capital in Indonesia," World Development, Elsevier, vol. 67(C), pages 376-395.
    • Handle: RePEc:eee:wdevel:v:67:y:2015:i:c:p:376-395
    DOI: 10.1016/j.worlddev.2014.10.028
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    2. Aris Ananta & Evi Nurvidya Arifin & Ari Purbowati & Paul J. Carnegie, 2023. "Does diversity matter for development? New evidence of ethnic diversity’s mediation between internal migration and economic growth across Indonesia’s regions," Journal of Population Research, Springer, vol. 40(3), pages 1-21, September.
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    5. Andrés Rodríguez-Pose & Viola Berlepsch, 2019. "Does Population Diversity Matter for Economic Development in the Very Long Term? Historic Migration, Diversity and County Wealth in the US," European Journal of Population, Springer;European Association for Population Studies, vol. 35(5), pages 873-911, December.
    6. Alexandra Tebkieta Tapsoba & Jean-Louis Combes & Pascale Combes Motel, 2023. "Does youth resentment matter in understanding the surge of extremist violence in Burkina Faso?," Working Papers hal-02895898, HAL.
    7. Emeline Bezin & Bastien Chabé-Ferret & David de la Croix, 2018. "Strategic Fertility, Education Choices and Conflicts in Deeply Divided Societies," LIDAM Discussion Papers IRES 2018011, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    8. Gisselquist, Rachel M. & Leiderer, Stefan & Niño-Zarazúa, Miguel, 2016. "Ethnic Heterogeneity and Public Goods Provision in Zambia: Evidence of a Subnational “Diversity Dividend”," World Development, Elsevier, vol. 78(C), pages 308-323.
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