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The Use and Misuse of the Coefficient of Variation in Organizational Demography Research

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  • JESPER B. SØRENSEN

    (Massachusetts Institute of Technology)

Abstract

Demographic heterogeneity is a central theoretical construct in organizational demography research. The most commonly used measure of demographic heterogeneity is the coefficient of variation. The author critically evaluates the rationale for using this measure and shows that the use of the coefficient of variation raises a number of methodological and interpretive problems. Empirical analyses of turnover suggest that using the coefficient of variation may lead to incorrect conclusions about the effects of demographic heterogeneity.

Suggested Citation

  • Jesper B. Sã˜Rensen, 2002. "The Use and Misuse of the Coefficient of Variation in Organizational Demography Research," Sociological Methods & Research, , vol. 30(4), pages 475-491, May.
    • Handle: RePEc:sae:somere:v:30:y:2002:i:4:p:475-491
    DOI: 10.1177/0049124102030004001
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    4. Barbara S. Lawrence, 1997. "Perspective---The Black Box of Organizational Demography," Organization Science, INFORMS, vol. 8(1), pages 1-22, February.
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