This paper investigates the effect of ethnolinguistic conflict on redistribution. The analysis focuses on the conflict arising between ‘peripheral’ minority groups and a dominant ‘centre’. We propose an index of linguistic conflict that (i) encompasses both diversity and polarization, and (ii) accounts for the distance between languages. Our results suggest that linguistic diversity is a better predictor of redistribution than linguistic polarization. We also find that incorporating linguistic distances improves the predictive power of our conclusions.
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
5112.
Find related papers by JEL classification: D60 - Microeconomics - - Welfare Economics - - - General D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances H50 - Public Economics - - National Government Expenditures and Related Policies - - - General Z10 - Other Special Topics - - Cultural Economics - - - General
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