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Revisiting the Relationship between Ethnic Diversity and Preferences for Redistribution

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Abstract

In this paper, we return to the question raised in Dahlberg et al. (2012) concerning a causal relationship between ethnic diversity and preferences for redistribution. A re-analysis of their study indicates that results are based on an endogenous instrument and severe sample attrition bias. Correcting for either of these two problems reveals that there is no relationship between ethnic diversity and preferences for redistribution. More generally, we provide results that put into question the conventional description of the Swedish refugee placement policy.

Suggested Citation

  • Nekby, Lena & Pettersson-Lidbom, Per, 2012. "Revisiting the Relationship between Ethnic Diversity and Preferences for Redistribution," Research Papers in Economics 2012:9, Stockholm University, Department of Economics.
  • Handle: RePEc:hhs:sunrpe:2012_0009
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    References listed on IDEAS

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    1. Grönqvist, Hans & Johansson, Per & Niknami, Susan, 2012. "Income inequality and health: Lessons from a refugee residential assignment program," Journal of Health Economics, Elsevier, vol. 31(4), pages 617-629.
    2. Olle Folke, 2014. "Shades Of Brown And Green: Party Effects In Proportional Election Systems," Journal of the European Economic Association, European Economic Association, vol. 12(5), pages 1361-1395, October.
    3. Chernozhukov, Victor & Hansen, Christian, 2008. "The reduced form: A simple approach to inference with weak instruments," Economics Letters, Elsevier, vol. 100(1), pages 68-71, July.
    4. Borjas, George J, 1995. "Ethnicity, Neighborhoods, and Human-Capital Externalities," American Economic Review, American Economic Association, vol. 85(3), pages 365-390, June.
    5. George J. Borjas, 1992. "Ethnic Capital and Intergenerational Mobility," The Quarterly Journal of Economics, Oxford University Press, vol. 107(1), pages 123-150.
    6. Olof Åslund & Dan-Olof Rooth, 2007. "Do when and where matter? initial labour market conditions and immigrant earnings," Economic Journal, Royal Economic Society, vol. 117(518), pages 422-448, March.
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    Cited by:

    1. Nekby, Lena & Pettersson-Lidbom, Per, 2014. "Comment on Dahlberg, Edmark and Lundqvist (2012)," Research Papers in Economics 2014:5, Stockholm University, Department of Economics.
    2. Dahlberg, Matz & Edmark, Karin & Lundqvist, Heléne, 2013. "Ethnic Diversity and Preferences for Redistribution: Reply," Working Paper Series 2013:4, Uppsala University, Department of Economics.
    3. Schaeffer, Merlin, 2013. "Ethnic diversity, public goods provision and social cohesion: Lessons from an inconclusive literature," Discussion Papers, Research Unit: Migration, Integration, Transnationalization SP VI 2013-103, Social Science Research Center Berlin (WZB).
    4. Grönqvist, Hans & Niknami, Susan & Robling, P-O, 2015. "Childhood Exposure to Segregation and Long-Run Criminal Involvement - Evidence from the “Whole of Sweden” Strategy#," Working Paper Series 1/2015, Stockholm University, Swedish Institute for Social Research.
    5. Anna Godøy, 2017. "Local labor markets and earnings of refugee immigrants," Empirical Economics, Springer, vol. 52(1), pages 31-58, February.

    More about this item

    Keywords

    ethnic diversity; income redistribution; re-analyzes;

    JEL classification:

    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy
    • Z18 - Other Special Topics - - Cultural Economics - - - Public Policy

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