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Birthplace diversity and economic prosperity

Listed author(s):
  • Alberto Alesina

    (Universita' Bocconi and IGIER - Bocconi University, Harvard University [Cambridge])

  • Johann Harnoss

    (Harvard University [Cambridge], CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

  • Hillel Rapoport

    (PSE - Paris School of Economics, Bar-Ilan University [Israël], Harvard University [Cambridge], CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

We propose an index of population diversity based on people’s birthplaces and decompose it into a size (share of immigrants) and a variety (diversity of immigrants) component. We show that birthplace diversity is largely uncorrelated with ethnic, linguistic or genetic diversity and that the diversity of immigrants relates positively to measures of economic prosperity. This holds especially for skilled immigrants in richer countries at intermediate levels of cultural proximity. We address endogeneity by specifying a pseudo-gravity model predicting the size and diversity of immigration. The results are robust across specifications and suggestive of skill-complementarities between immigrants and native workers.

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Paper provided by HAL in its series Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) with number hal-01304131.

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Date of creation: 2016
Publication status: Published in Journal of Economic Growth, Springer Verlag, 2016, pp.1-38. <10.1007/s10887-016-9127-6>
Handle: RePEc:hal:cesptp:hal-01304131
DOI: 10.1007/s10887-016-9127-6
Note: View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-01304131
Contact details of provider: Web page: https://hal.archives-ouvertes.fr/

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