Are Demographic Diversity Effects Spurious?
The substantial literature on the relationship between demographic diversity and team performance yields weak and/or inconsistent results. Using match-level data of all games played in the German soccer league Bundesliga over six seasons, this paper analyzes age, race and tenure diversity of the fielded team under different model specifications to test the robustness of demographic diversity effects. The empirical results reveal that the correlations between demographic diversity and the outcome of the game are confounded by mean values of the demographic attributes and contextual covariates.
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