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The Political Economy of Social Exclusion with Implications for Immigration Policy

  • Gradstein, Mark


    (Ben Gurion University)

  • Schiff, Maurice


    (World Bank)

Minorities, such as ethnic and immigration groups, have often been subject to exclusion through labor market discrimination, residential and employment segregation policies, business ownership regulations, restrictions on political participation, access to public services and more. This paper studies the dynamics of minority exclusion. From the viewpoint of the dominant majority, the exclusion decision balances the motive to redistribute income in its favor and the interest in avoiding potential civic unrest or even violent confrontation with the minority by allowing inclusion of some of its members. The analysis also has implications for immigration policies which have to take this group dynamics into account.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1087.

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Length: 27 pages
Date of creation: Mar 2004
Date of revision:
Publication status: published in: Journal of Population Economics, 2006, 19 (2), 327-344
Handle: RePEc:iza:izadps:dp1087
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  9. Bourguignon, F. & Verdier, T., 1997. "Oligarchy, Democracy, Inequality and Growth," DELTA Working Papers 97-10, DELTA (Ecole normale supérieure).
  10. Francesco Caselli & Wilbur John Coleman II, 2013. "On The Theory Of Ethnic Conflict," Journal of the European Economic Association, European Economic Association, vol. 11, pages 161-192, 01.
  11. Easterly, William, 2000. "Can institutions resolve ethnic conflict ?," Policy Research Working Paper Series 2482, The World Bank.
  12. Klasen, Stephan, 2002. "Social, Economic, and Environmental Limits for the Newly Enfranchised in South Africa," Economic Development and Cultural Change, University of Chicago Press, vol. 50(3), pages 607-42, April.
  13. Acemoglu, Daron & Robinson, James A, 1998. "Why did the West Extend the Franchise? Democracy, Inequality and Growth in Historical Perspective," CEPR Discussion Papers 1797, C.E.P.R. Discussion Papers.
  14. Psacharopoulos, George, 1992. "Ethnicity, education, and earnings in Bolivia and Guatemala," Policy Research Working Paper Series 1014, The World Bank.
  15. repec:oup:qjecon:v:115:y:2000:i:4:p:1167-1199 is not listed on IDEAS
  16. repec:oup:qjecon:v:112:y:1997:i:4:p:1203-50 is not listed on IDEAS
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