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Determining the Impact of Cultural Diversity on Regional Economies in Europe

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  • Dirk Dohse
  • Robert Gold

Abstract

In recent decades, the ethnic composition of the European population has changed substantially, leading to a rapid increase of cultural diversity in the EU as a whole, at the level of individual member states, and at the regional level. This paper focusses on the regional level and investigates the relationship between cultural diversity and regional economic performance for the EU 27. Giving particular attention to regional innovation, GDP per capita, and its development over time, the paper finds that culturally more diverse regions are on average more innovative, which translates into higher growth and better economic performance. An important finding of this study is, however, that the positive effect of cultural diversity on regional economic performance is not present in all sub-samples of the European regions alike.

Suggested Citation

  • Dirk Dohse & Robert Gold, 2014. "Determining the Impact of Cultural Diversity on Regional Economies in Europe," WWWforEurope Working Papers series 58, WWWforEurope.
  • Handle: RePEc:feu:wfewop:y:2014:m:3:d:0:i:58
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Michael Böheim & Anna Strauss & Teresa Weiss, 2015. "Moving towards a new growth model. Policy options," WWWforEurope Deliverables series 10, WWWforEurope.
    2. Susanna Ulinski, 2015. "Corporate Social Innovation as a Driver of Performance and Welfare," WWWforEurope Policy Paper series 25, WWWforEurope.
    3. Dirk Dohse & Robert Gold, 2014. "Cultural Diversity and Economic Policy," WWWforEurope Working Papers series 64, WWWforEurope.
    4. Gunther Tichy, 2015. "Protecting social inclusion and mobility in a low growth scenario," WWWforEurope Working Papers series 100, WWWforEurope.
    5. Fassio, Claudio & Kalantaryan, Sona & Venturini, Alessandra, 2015. "Human Resources and Innovation: Total Factor Productivity and Foreign Human Capital," Department of Economics and Statistics Cognetti de Martiis. Working Papers 201536, University of Turin.
    6. Harald Badinger & David Bailey & Lisa De Propris & Peter Huber & Jürgen Janger & Kurt Kratena & Hans Pitlik & Thomas Sauer & Renaud Thillaye & Jeroen van den Bergh, 2016. "New Dynamics for Europe: Reaping the Benefits of Socio-ecological Transition. Synthesis Report Part II," WWWforEurope Deliverables series 12, WWWforEurope.
    7. repec:wfo:wstudy:47494 is not listed on IDEAS
    8. repec:wfo:wstudy:58500 is not listed on IDEAS
    9. repec:wfo:wstudy:58556 is not listed on IDEAS
    10. repec:wfo:wstudy:58792 is not listed on IDEAS
    11. Fassio, Claudio & Kalantaryan, Sona & Venturini, Alessandra, 2015. "Human Resources and Innovation: Total Factor Productivity and Foreign Human Capital," Department of Economics and Statistics Cognetti de Martiis. Working Papers 201536, University of Turin.

    More about this item

    Keywords

    Regional Development; Cultural Diversity; Measurement Issues;

    JEL classification:

    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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