Public Goods and Ethnic Diversity: Evidence from Deforestation in Indonesia

Alberto Alesina, Caterina Gennaioli and Stefania Lovo

Economica, 2019, vol. 86, issue 341, 32-66

Abstract: This paper shows that the level of deforestation in Indonesia is positively related to the degree of ethnic fractionalization. To identify a causal relation, we exploit the exogenous timing of variation in the level of ethnic heterogeneity due to the creation of new jurisdictions. We provide evidence consistent with a lower control of politicians, through electoral punishment, in more ethnically fragmented districts. Our results are consistent with the literature on (under)provision of public goods in ethnically diverse societies.

Date: 2019
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https://doi.org/10.1111/ecca.12285

Related works:
Working Paper: Public goods and ethnic diversity: evidence from deforestation in Indonesia (2019)
Working Paper: Public Goods and Ethnic Diversity: Evidence from Deforestation in Indonesia (2016)
Working Paper: Public goods and ethnic diversity: evidence from deforestation in Indonesia (2015)
Working Paper: Public Goods and Ethnic Diversity: Evidence from Deforestation in Indonesia (2014)
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