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Social Exclusion: Residential Segregation in Bolivian Cities

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  • George Gray-Molina
  • Wilson Jimenez
  • Ernesto Perez de Rada

Abstract

This study analyzes the impact of ethnic-based residential segregation on income and education outcomes in Bolivian cities. Three results stand out in the analysis. First, we find significant and negative segregation effects on income generation in both across-city and intra-city comparisons. Second, we find individual and neighborhood-level interactions between ethnicity and segregation to be significantly and negatively correlated with income and schooling attainment. Finally, we find positive social capital effects for recent migrants and young workers and negative human capital effects for non-migrants and older workers. We attempt to control for selection biases with three instruments for residential segregation. We also include potential intergenerational determinants of income and schooling through expanded measures of parental human and social capital.

Suggested Citation

  • George Gray-Molina & Wilson Jimenez & Ernesto Perez de Rada, 2002. "Social Exclusion: Residential Segregation in Bolivian Cities," Research Department Publications 3136, Inter-American Development Bank, Research Department.
  • Handle: RePEc:idb:wpaper:3136
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    References listed on IDEAS

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    1. Alberto Alesina & Eliana La Ferrara, 2000. "Participation in Heterogeneous Communities," The Quarterly Journal of Economics, Oxford University Press, vol. 115(3), pages 847-904.
    2. Chiswick, Barry R & Patrinos, Harry Anthony & Hurst, Michael E, 2000. "Indigenous Language Skills and the Labor Market in a Developing Economy: Bolivia," Economic Development and Cultural Change, University of Chicago Press, vol. 48(2), pages 349-367, January.
    3. Edward L. Glaeser & Matthew E. Kahn & Jordan Rappaport, 2000. "Why Do The Poor Live In Cities?," Harvard Institute of Economic Research Working Papers 1891, Harvard - Institute of Economic Research.
    4. Borjas, George J., 1998. "To Ghetto or Not to Ghetto: Ethnicity and Residential Segregation," Journal of Urban Economics, Elsevier, vol. 44(2), pages 228-253, September.
    5. Edward L. Glaeser & David Laibson & Bruce Sacerdote, 2000. "The Economic Approach to Social Capital," NBER Working Papers 7728, National Bureau of Economic Research, Inc.
    6. Case, A.C. & Katz, L.F., 1991. "The Company You Keep: The Effects Of Family And Neighborhood On Disadvantaged Younths," Harvard Institute of Economic Research Working Papers 1555, Harvard - Institute of Economic Research.
    7. David M. Cutler & Edward L. Glaeser, 1997. "Are Ghettos Good or Bad?," The Quarterly Journal of Economics, Oxford University Press, vol. 112(3), pages 827-872.
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