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Diversity of Communities and Economic Development: An Overview

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Author Info
Gustav Ranis () (Yale University, Economic Growth Center)
Abstract

This paper reviews the literature on the impact of ethnic diversity on economic development. Ethnically polarized societies are less likely to agree on the provision of public goods and more likely to engage in rent seeking activities providing lower levels of social capital. Initial conditions are important determinants of adverse development outcomes. The role of decentralization, democracy and markets as potential remedies are discussed. The paper then presents a number of preliminary hypotheses on the relationship between diversity and instability in order to stimulate future research.

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Paper provided by Economic Growth Center, Yale University in its series Working Papers with number 977.

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Length: 17 pages
Date of creation: Sep 2009
Date of revision:
Handle: RePEc:egc:wpaper:977

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Related research
Keywords: Africa; Diversity; Economic Growth; Instability;

Find related papers by JEL classification:
O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
O43 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
O55 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Timothy Besley & Masayuki Kudamatsu, 2007. "Making Autocracy Work," STICERD - Development Economics Papers 48, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE. [Downloadable!]
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  2. Esteban, Joan & Ray, Debraj, 1994. "On the Measurement of Polarization," Econometrica, Econometric Society, vol. 62(4), pages 819-51, July. [Downloadable!] (restricted)
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  3. Robert H. Bates, 2000. "Ethnicity and Development in Africa: A Reappraisal," American Economic Review, American Economic Association, vol. 90(2), pages 131-134, May. [Downloadable!] (restricted)
  4. Alesina, Alberto, et al, 2003. " Fractionalization," Journal of Economic Growth, Springer, vol. 8(2), pages 155-94, June. [Downloadable!] (restricted)
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  5. Sachs, Jeffrey D & Warner, Andrew M, 1997. "Sources of Slow Growth in African Economies," Journal of African Economies, Oxford University Press, vol. 6(3), pages 335-76, October.
  6. Mwangi S. Kimenyi, 2006. "Ethnicity, Governance and the Provision of Public Goods," Journal of African Economies, Oxford University Press, vol. 15(1), pages 62-99, April.
    Other versions:
  7. Augustin Fosu & Robert Bates & Anke Hoeffler, 2006. "Institutions, Governance and Economic Development in Africa: An Overview," Journal of African Economies, Oxford University Press, vol. 15(1), pages 1-9, April.
  8. Pranab K. Bardhan & Dilip Mookherjee, 2000. "Capture and Governance at Local and National Levels," American Economic Review, American Economic Association, vol. 90(2), pages 135-139, May. [Downloadable!] (restricted)
  9. Temple, Jonathan, 1998. "Initial Conditions, Social Capital and Growth in Africa," Journal of African Economies, Oxford University Press, vol. 7(3), pages 309-47, October.
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This page was last updated on 2009-11-26.

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