Article ID Journal Published Year Pages File Type
5060073 Economics Letters 2012 4 Pages PDF
Abstract

Using data on 74 countries and a large number of controls, this paper finds that a higher degree of ethnic fractionalization is correlated with a higher unemployment rate. This is probably mainly because fractionalization reduces labor market efficiency.

► We use data on 74 countries and a large number of controls. ► Higher ethnic fractionalization is correlated with a higher unemployment rate. ► The magnitude of the effect is substantial.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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