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Ethnic Diversity and Well-Being

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  • Akay, Alpaslan

    () (University of Gothenburg)

  • Constant, Amelie F.

    () (Temple University)

  • Giulietti, Corrado

    () (University of Southampton)

  • Guzi, Martin

    () (Masaryk University)

Abstract

This paper investigates how ethnic diversity, measured by the immigrants' countries of origin, influences the well-being of the host country. Using panel data from Germany for the period 1998 to 2012, we find a positive effect of ethnic diversity on the well-being of German citizens. To corroborate the robustness of our results, we estimate several alternative specifications and investigate possible causality issues, including non-random selection of natives and immigrants into regions. Finally, we explore productivity and social capital as potential mechanisms behind our finding.

Suggested Citation

  • Akay, Alpaslan & Constant, Amelie F. & Giulietti, Corrado & Guzi, Martin, 2016. "Ethnic Diversity and Well-Being," IZA Discussion Papers 9726, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp9726
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    Cited by:

    1. Vernon, Victoria & Zimmermann, Klaus F., 2019. "Walls and Fences: A Journey Through History and Economics," GLO Discussion Paper Series 330, Global Labor Organization (GLO).
    2. Awaworyi Churchill, Sefa & Smyth, Russell, 2020. "Ethnic diversity, energy poverty and the mediating role of trust: Evidence from household panel data for Australia11We thank two referees for constructive comments. This article uses unit record data ," Energy Economics, Elsevier, vol. 86(C).
    3. Pablo de Pedraza & Martin Guzi & Kea Tijdens, 2020. "Life Satisfaction of Employees, Labour Market Tightness and Matching Efficiency," MUNI ECON Working Papers 2020-02, Masaryk University.
    4. O’Connor, Kelsey J., 2019. "The effect of immigration on natives’ well-being in the European Union," GLO Discussion Paper Series 352, Global Labor Organization (GLO).
    5. Pablo de Pedraza & Martin Guzi & Kea Tijdens, 2020. "Life Dissatisfaction and Anxiety in COVID-19 pandemic," MUNI ECON Working Papers 2020-03, Masaryk University.
    6. Höckel, Lisa Sofie, 2018. "Collectivism in the labor market: Evidence from second generation immigrants in the United States," Journal of Comparative Economics, Elsevier, vol. 46(4), pages 1347-1369.
    7. Howley, P.; & Moro, M.; & Waqas, M.; & Delaney, L.; & Heron, T.;, 2018. "Immigration and self-reported well-being in the UK," Health, Econometrics and Data Group (HEDG) Working Papers 18/12, HEDG, c/o Department of Economics, University of York.
    8. Michaela Slotwinski & Alois Stutzer, 2019. "The deterrent effect of an anti-minaret vote on foreigners’ location choices," Journal of Population Economics, Springer;European Society for Population Economics, vol. 32(3), pages 1043-1095, July.
    9. Lonsky, Jakub, 2020. "Does Immigration Decrease Far-Right Popularity? Evidence from Finnish Municipalities," GLO Discussion Paper Series 540, Global Labor Organization (GLO).
    10. Papageorgiou, Athanasios, 2018. "The Effect of Immigration on the Well-Being of Native Populations: Evidence from the United Kingdom," MPRA Paper 93045, University Library of Munich, Germany.
    11. Artjoms Ivlevs & Milena Nikolova & Carol Graham, 2019. "Emigration, remittances, and the subjective well-being of those staying behind," Journal of Population Economics, Springer;European Society for Population Economics, vol. 32(1), pages 113-151, January.
    12. Qiang Li & Lian An, 2020. "Corruption Takes Away Happiness: Evidence from a Cross-National Study," Journal of Happiness Studies, Springer, vol. 21(2), pages 485-504, February.
    13. Jakub Lonsky, 0. "Does immigration decrease far-right popularity? Evidence from Finnish municipalities," Journal of Population Economics, Springer;European Society for Population Economics, vol. 0, pages 1-43.
    14. de Pedraza, Pablo & Guzi, Martin & Tijdens, Kea, 2020. "Life Dissatisfaction and Anxiety in COVID-19 pandemic," GLO Discussion Paper Series 544, Global Labor Organization (GLO).
    15. Masanori Kuroki, 2018. "Racial diversity, immigrants and the well-being of residents: evidence from US counties," Journal of Population Economics, Springer;European Society for Population Economics, vol. 31(1), pages 107-133, January.
    16. Zimmermann, Klaus F., 2018. "Social Cohesion and Labor Mobility," GLO Discussion Paper Series 249, Global Labor Organization (GLO).
    17. María Delgado Gómez-Flors & Maite Alguacil, 2018. "The Impact of Immigrant Diversity on Wages. The Spanish Experience," Sustainability, MDPI, Open Access Journal, vol. 10(9), pages 1-29, September.

    More about this item

    Keywords

    assimilation; subjective well-being; ethnic diversity; multiculturality;

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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