Public goods and ethnic divisions

Alberto Alesina, Reza Baqir, William Easterly

    Research output: Contribution to journalArticle

    Abstract

    We present a model that links heterogeneity of preferences across ethnic groups in a city to the amount and type of public goods the city supplies. We test the implications of the model with three related data sets: U. S. cities, U. S. metropolitan areas, and U. S. urban counties. Results show that the shares of spending on productive public goods - education, roads, sewers and trash pickup - in U. S. cities (metro areas/urban counties) are inversely related to the city's (metro area's/county's) ethnic fragmentation, even after controlling for other socioeconomic and demographic determinants. We conclude that ethnic conflict is an important determinant of local public finances.

    Original languageEnglish (US)
    Pages (from-to)1243-1284
    Number of pages42
    JournalQuarterly Journal of Economics
    Volume114
    Issue number4
    StatePublished - Nov 1999

    Fingerprint

    Fragmentation
    Socio-economics
    Urban areas
    Roads
    Metropolitan areas
    Education
    Ethnic groups
    Trash
    Local public finance
    Ethnic conflict
    Demographics

    ASJC Scopus subject areas

    • Economics and Econometrics

    Cite this

    Alesina, A., Baqir, R., & Easterly, W. (1999). Public goods and ethnic divisions. Quarterly Journal of Economics, 114(4), 1243-1284.

    Public goods and ethnic divisions. / Alesina, Alberto; Baqir, Reza; Easterly, William.

    In: Quarterly Journal of Economics, Vol. 114, No. 4, 11.1999, p. 1243-1284.

    Research output: Contribution to journalArticle

    Alesina, A, Baqir, R & Easterly, W 1999, 'Public goods and ethnic divisions', Quarterly Journal of Economics, vol. 114, no. 4, pp. 1243-1284.
    Alesina A, Baqir R, Easterly W. Public goods and ethnic divisions. Quarterly Journal of Economics. 1999 Nov;114(4):1243-1284.
    Alesina, Alberto ; Baqir, Reza ; Easterly, William. / Public goods and ethnic divisions. In: Quarterly Journal of Economics. 1999 ; Vol. 114, No. 4. pp. 1243-1284.
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