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Assimilation patterns in cities

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  • Sato, Yasuhiro
  • Zenou, Yves

Abstract

Do ethnic minority individuals assimilate to the majority’s norm or reject it – by trading off higher productivity and wages with a greater social distance to their culture of origin? We develop a model in which “oppositional” ethnic minority individuals reside in more segregated areas, have worse outcomes (in terms of income) but are not necessarily worse off in terms of welfare than assimilated ethnic minority individuals who live in less segregated areas. A policy that reduces transportation cost decreases rather than increases assimilation in cities. When there are more productivity spillovers between the two groups, ethnic minority individuals are more likely not to assimilate and to reject the majority’s norm. Finally, we show that ethnic minority individuals tend to assimilate more in bigger and more expensive cities.

Suggested Citation

  • Sato, Yasuhiro & Zenou, Yves, 2020. "Assimilation patterns in cities," European Economic Review, Elsevier, vol. 129(C).
  • Handle: RePEc:eee:eecrev:v:129:y:2020:i:c:s0014292120301938
    DOI: 10.1016/j.euroecorev.2020.103563
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    Cited by:

    1. Mariko Nakagawa & Yasuhiro Sato & Kazuhiro Yamamoto, 2019. "Segregation and Public Spending under Social Identification," CIRJE F-Series CIRJE-F-1132, CIRJE, Faculty of Economics, University of Tokyo.

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    More about this item

    Keywords

    Identity; Agglomeration economies; Cities; Ethnic minority; Welfare;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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