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Is Diversity Bad for Economic Growth? Evidence from State-level Data in the US

Ratna, Nazmun N.; Kompas, Thomas; Grafton, Quentin

Description

The paper examines the macroeconomic effects of social diversity in the United States. Employing a cross-sectional dataset for 48 states, we find mixed empirical evidence for the impact of diversity on Gross State Product (GSP) per capita growth: racial diversity reduces GSP growth, while linguistic diversity raises GSP growth. Our findings suggest that because English is used frequently by non-native speakers barriers to communications based on race are more pronounced and enduring than those...[Show more]

CollectionsANU Research Publications
Date published: 2009
Type: Journal article
URI: http://hdl.handle.net/1885/18077
Source: Journal of Socio-Economics
DOI: 10.1016/j.socec.2009.05.006

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