Working Paper: NBER ID: w7155
Authors: Alberto Alesina; Eliana La Ferrara
Abstract: This paper studies both theoretically and empirically the determinants of group formation and of the degree of participation when the population is heterogeneous, both in terms of income and race or ethnicity. We are especially interested in whether and how much the degree of heterogeneity in communities influences the amount of participation in different types of groups. Using survey data on group membership and data on US localities, we find that, after controlling for many individual characteristics, participation in social activities is significantly lower in more unequal and in more racially or ethnically fragmented localities. We also find that those individuals who express views against racial mixing are less prone to participate in the groups the more racially heterogeneous their community is.
Keywords: No keywords provided
JEL Codes: No JEL codes provided
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| income inequality (D31) | lower participation in social activities (I14) |
| racial fragmentation (F12) | lower participation in social activities (I14) |
| community heterogeneity (R23) | lower propensity to participate in social groups (C92) |
| negative views towards racial mixing (J15) | lower engagement in social activities in racially heterogeneous communities (R23) |
| racial heterogeneity (J15) | lower participation in groups requiring direct interaction (C92) |
| individual attitudes towards racial mixing (J15) | impact of racial heterogeneity on participation (J15) |