Journal Article
Impact of cultural diversity on wages, evidence from panel data
Authors
Publication date
Sep 2013
Summary
This paper combines individual data from the British Household Panel Survey and yearly population estimates for England to analyse the impact that cultural diversity has on individual wages. Do people living in more diverse areas earn higher wages after controlling for other observable and unobservable characteristics? The results show that cultural diversity is positively associated with wages, but only when cross-section data are used, while panel data estimations show no impact of diversity. Since natives with comparatively higher skills – and wages – tend to self-select into more diverse areas, cross-section analyses may produce upwardly biassed results.
Published in
Regional Science and Urban Economics
Volume and page numbers
43 , 797 -807
DOI
http://dx.doi.org/10.1016/j.regsciurbeco.2013.07.004
ISSN
16
Subjects
Area Effects, Wages And Earnings, and Well Being
Links
http://serlib0.essex.ac.uk/record=b1646471~S5
Notes
Albert Sloman Library Periodicals *restricted to Univ. Essex registered users*
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