Decomposition of ethnic heterogeneity on growth

Eiji Yamamura () and Inyong Shin

EERI Research Paper Series from Economics and Econometrics Research Institute (EERI), Brussels

Abstract: Ethnic heterogeneity influences economic growth through various channels such as efficiency improvement and capital accumulation. However, it is open to discussion exactly how ethnic heterogeneity affects these channels. Hence, this paper attempts to examine the effects of heterogeneity on economic growth using data envelopment analysis. The empirical results of the estimations show that heterogeneity has a negative effect on efficiency improvements. However, heterogeneity has no effect on capital accumulation. This implies that ethnic heterogeneity hinders positive externalities such as information spillover, which hampers economic growth.

Keywords: Ethnic fractionalization; Ethnic polarization; Efficiency improvement; Capital accumulation. (search for similar items in EconPapers)
JEL-codes: H11 O43 (search for similar items in EconPapers)
Date: 2012-05-09
New Economics Papers: this item is included in nep-dem
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http://www.eeri.eu/documents/wp/EERI_RP_2012_09.pdf (application/pdf)

Related works:
Journal Article: Decomposition of Ethnic Heterogeneity on Growth (2013)
Working Paper: Decomposition of ethnic heterogeneity on growth (2012)
Working Paper: Decomposition of ethnic heterogeneity on growth (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:eei:rpaper:eeri_rp_2012_09

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