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Journal of Political Economy Vol. 124 No. 2 2016

Ethnic Inequality

Alberto Alesina1,2,3,4,5,6; Stelios Michalopoulos2,7,5; Elias Papaioannou1,2,5

1 Center for Economic and Policy Research · 2 National Bureau of Economic Research · 3 Harvard University · 4 Institute for Economic Research · 5 Centre for Economic Policy Research · 6 Economic Research Centre · 7 John Brown University

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Abstract

This study explores the consequences and origins of between-ethnicity economic inequality across countries. First, combining satellite images of nighttime luminosity with the historical homelands of ethnolinguistic groups we construct measures of ethnic inequality for a large sample of countries. We also compile proxies of overall spatial inequality and regional inequality across administrative units. Second, we uncover a strong negative association between ethnic inequality and contemporary comparative development; the correlation is also present when we condition on regional inequality, which is itself related to under-development. Third, we investigate the roots of ethnic inequality and establish that differences in geographic endowments across ethnic homelands explain a sizable fraction of the observed variation in economic disparities across groups. Fourth, we show that ethnic-specific inequality in geographic endowments is also linked to under-development.

DOI
10.1086/685300
Volume
124
Issue
2
Pages
428-488
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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