Birthplace diversity and private giving: Evidence from China

Zhijian Zhang and Xueyuan Wang

China Economic Review, 2022, vol. 74, issue C

Abstract: The inescapable migration-related diversity has profound social, economic, and political consequences for the host society. This paper exploits spatial and temporal variations in birthplace diversity to identify its causal effect on household donation in China. Leveraging a novel longitudinal dataset, the paper finds that higher birthplace diversity at the city level decreases donation for local neighborhood affairs and community services, but it does hopefully encourage donation for poverty alleviation and disaster relief, and donation for educational aid and health care. Further findings, while are in support of failures in cooperation as the popular mechanism behind the adverse effects of birthplace diversity, indicate that the positive effects of birthplace diversity are primarily driven by changes in emotional states such as perceived fairness, moral values, empathic and responsible awareness. This paper complements the literature on diversity and public goods provision by highlighting the necessity of distinguishing various kinds of public goods and considering the salience of diversity under local specific contexts.

Keywords: Birthplace diversity; Charitable giving; Interaction pattern; Emotional changes (search for similar items in EconPapers)
JEL-codes: D64 H41 J11 R23 Z13 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:chieco:v:74:y:2022:i:c:s1043951x22000852

DOI: 10.1016/j.chieco.2022.101827

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