Working Paper: CEPR ID: DP6824
Authors: Quamrul Ashraf; Oded Galor
Abstract: This research contributes to the understanding of human genetic diversity within a society as a significant determinant of its economic development. The hypothesis advanced and empirically examined in this paper suggests that there are socioeconomic trade-offs associated with genetic diversity within a given society. The investigation exploits an exogenous source of cross-country variation in genetic diversity by appealing to the "out of Africa" hypothesis of human origins to empirically establish a highly statistically significant and robust non-monotonic effect of genetic diversity on development outcomes in the pre-colonial era. Contrary to theories that reject a possible role for human genetics in influencing economic development, this study demonstrates the economic significance of diversity in genetic traits, while abstaining entirely from conceptual frameworks that posit a hierarchy of such traits in terms of their conduciveness to the process of economic development.
Keywords: comparative development; human genetic diversity; land productivity; Malthusian stagnation; Neolithic revolution; population density
JEL Codes: N10; N30; N50; O10; O50; Z10
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| genetic diversity (C46) | population density (J11) |
| genetic diversity (C46) | economic development outcomes (O29) |
| timing of the Neolithic transition (N53) | population density (J11) |
| natural productivity of land (Q24) | population density (J11) |