Cultural Diversity and Employment Growth: Moderating Effect of the Recent Global Financial Crisis

Markus Grillitsch and Sam Tavassoli

No 2018/5, Papers in Innovation Studies from Lund University, CIRCLE - Centre for Innovation Research

Abstract: This paper analyses the effect of cultural diversity on employment growth, considering the recent Global Financial Crisis (GFC) as a moderating factor. In doing so, we developed competing hypotheses based on Blau’s theory of heterogeneity versus an alternative perspective which combines the resource-based view (RBV) with social identity theory (SIT). We empirically test such theories using a unique longitudinal dataset comprising the population of all firms in Sweden between 2003 and 2012. We find support for the latter hypothesis, i.e. the relationship between cultural diversity and employment growth is inverted U-shape, which is even more pronounced during/after the GFC. We discussed the implication of findings for other contexts.

Keywords: Cultural diversity; firm performance; Global Financial Crisis (GFC) (search for similar items in EconPapers)
JEL-codes: E24 G01 M14 M51 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2018-02-27
New Economics Papers: this item is included in nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://wp.circle.lu.se/upload/CIRCLE/workingpapers/201805_grillitsch_et_al.pdf Full text (application/pdf)

Related works:
Journal Article: Cultural diversity and employment growth: Moderating effect of the recent global financial crisis (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hhs:lucirc:2018_005

Access Statistics for this paper

More papers in Papers in Innovation Studies from Lund University, CIRCLE - Centre for Innovation Research CIRCLE - Centre for Innovation Research, Lund University, PO Box 117, SE-22100 Lund, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Torben Schubert ().