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Human Genetic Diversity and Comparative Economic Development

  • Ashraf, Quamrul
  • Galor, Oded

This research contributes to the understanding of human genetic diversity within a society as a significant determinant of its economic development. The hypothesis advanced and empirically examined in this paper suggests that there are socioeconomic trade-offs associated with genetic diversity within a given society. The investigation exploits an exogenous source of cross-country variation in genetic diversity by appealing to the "out of Africa" hypothesis of human origins to empirically establish a highly statistically significant and robust non-monotonic effect of genetic diversity on development outcomes in the pre-colonial era. Contrary to theories that reject a possible role for human genetics in influencing economic development, this study demonstrates the economic significance of diversity in genetic traits, while abstaining entirely from conceptual frameworks that posit a hierarchy of such traits in terms of their conduciveness to the process of economic development.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 6824.

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Date of creation: May 2008
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Handle: RePEc:cpr:ceprdp:6824
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