Diversity and Social Capital in the U.S: A Tale of Conflict, Contact or Total Mistrust?∗

Willie James Belton, Ruth Uwaifo Oyelere, Yameen Huq

Abstract


This paper explores the relationship between ethnic fractionalization and social capital. First, using data from 1990, 1997 and 2005 we test for time differences in the impact of ethnic fractionalization on social capital. Subsequently, we examine U.S. data for evidence consistent with the pro- posed outcomes in the conflict, contact, or hunker-down theses discussed in Putnam (2007). Putnam (2007) examines what happens to “trust” or “social capital” when individuals of different ethnicity are introduced into social, political and/or economic groups over time. Using an instru- mental variable (IV) estimator, we find little evidence of heterogeneity in the impact of ethnic fractionalization on social capital over our period of analysis. In addition, using both fixed effect and IV estimators, we reject the contact hypothesis, but find evidence consistent with the outcomes predicted in both conflict hypothesis and Putnam’s hunker-down hypoth- esis in inter-ethnic relations. Due to data limitations, we are unable to test directly which of these two thesis are more relevant for the U.S ex- perience. However, we provide suggestive evidence in support of conflict hypothesis over the hunker-down hypothesis.  Our results suggest that as communities become more diverse, there is a tendency for social capital to decline.

Keywords


Ethnic Fractionalization; Social Capital; Trust; Diversity; Social Networks

Full Text:

PDF

References


References

Allport, G. W. (1954). The nature of prejudice. Cambridge, MA: Addison-

Wesley.

Angrist, J. D., and G. W. Imbens , (1995),Two{Stage Least Squares Es-

timation of Average Causal Effects in Models with Variable Treatment

Intensity," Journal of the American Statistical Association , Vol 90, No.

, 431-442.

Alesina, Alberto and Eliana LaFerrara. (2004). Ethnic Diversity and Eco-

nomic Performance. NBER Working Paper 10313, National Bureau of Eco-

nomic Reserach.

Alesina, Alberto and Eliana LaFerrara. (2000). Participation in Heteroge-

neous Communities. Quarterly Journal of Economics, 115, 847-904.

Arrow, Kenneth J. (2000) Observations on Social Capital. Social Capital:

A Multifaceted Perspective, Edited by Partha Dasgupta and Ismail Ser-

ageldin. The International Bank of Reconstruction.

Belton, W., Huq, Y., & Uwaifo Oyelere, R. (2014). Diversity and Social

Capital in the US: A Tale of Con

ict, Contact or Total Mistrust? (No.

. IZA Discussion Papers.

Blau, Peter M. (1977) Inequality and Heterogeneity: A Primitive Theory

of Social Structure, New York: Free Press.

Blummer H. (1958) Race Prejudice as a of Group Position, Pacic Socio-

logical Review, Spring, Vol.1, Number 1.

Borjas, George. (2013) Immigration and the American worker." Center

for Immigration Studies, Washington, DC . Backgrounder.

Bourdieu P. (1987) Distinction. A Social Critique of the Judgement of

Taste." London, Routledge

Browne, W. (2001) The Failure of National Rural Policy. Georgetown Uni-

versity Press, Washington D.C.

Card, David. (2005) Is the New Immigration Really So Bad? Economic

Journal, 115, F300{F323.

Chhibber, Ajay, et al. (1997) The State in a Changing World. World Devel-

opment Report, 1997. Oxford University Press, Inc., 2001 Evans Rd., Cary,

NC 27513, 1997.

Colman J.S. (1988). The Creation and Destruction of Social Capital: Im-

plications for the Law. Notre Dame Journal of Law, Ethics, and Public

Policy 3:375-404.

Colman J.S. (1990) Foundations of Social Theory, Cambridge: Belknap

Press of Harvard University Press (1990)

Dasgupta, Patha (2009). A Matter of Trust: Social Capital and Economic

Development. Manuscript May 2009. Presented June 2009, Annual Bank

Conference of Development Economics

Dasgupta, Patha (1988). "Trust as a Commodity" in D. Gambetta ed. Trust

: Making and Breaking Coopertive Relations (Oxford:Basil Blackwell)

Diette, Timothy M. and Ruth Uwaifo Oyelere, (2014). Gender and Race

Heterogeneity: The Impact of Students with Limited English on Native

Students' Performance, American Economic Review, American Economic

Association, vol. 104(5), pages 412-17, May.

DeFilippis, J. (2001) The Myth of Social Capital in Community Develop-

ment Housing Policy Debate 12, 781-806.

Durlauf, S.N. (2002). Symposium on social capital: introduction, Economic

Journal, 112, F437-F458.

Glaeser E.L., Laibson, D., Scheinkman, J.A. (2002). The Economic Ap-

proach to Social Capital, Economic Journal, 115, F417{18.

Gundelach, Birte. (2014) In diversity we trust: the positive effect of ethnic

diversity on outgroup trust." Political behavior 36.1 : 125-142.

Helliwell, John F., and Robert D. Putnam. (2004) The social context of

well-being. Philosophical transactions-royal society of London series B bi-

ological sciences: 1435-1446.

Knack, S. and Keefer, P. (1997) Does Social Capital have an Economic

Payoff? A Cross-Country Investigation Quarterly Journal of Economics

, 1251-1288.

McPherson, J., Popielarz, P. A., and Drobnic, S. (1992). Social Networks

and Organizational Dynamics. American Sociological Review, 57(2), 153-

Meer, T. van der and Tolsma, J. (2014) 'Ethnic diversity and its effects on

social cohesion', Annual Review of Sociology, 40, 459-478.

Narayan, Deepa, and Lant Pritchett. (1997). Cents and Sociability: House-

hold Income and Social Capital in Rural Tanzania.

North, Douglas C. and Robert P. Thomas. (1973). The Rise of the Western

World: A New Economic History. Cambridge: Cambridge University Press.

Olson, Mancur. (1971). The Logic of Collective Action: Public Goods and

the Theory of Groups. (Revised edition ed.). Harvard University Press.

Ottaviano, Gianmarco IP, and Giovanni Peri. (2012) Rethinking the effect

of immigration on wages. Journal of the European Economic Association

1 (2012): 152-197.

Pichler, F. Wallace (2007) Patterns of Formal and Informal Social Capital,

European Sociological Review, 24, 423-35.

Portes, Alejandro.(1998) Social Capital: Its Origins and Applications in

Modern Sociology, Annual Review of Sociology, 24, 1-24

Putnam, Robert (1993) Making Democracy Work: Civic Traditions in

Modern Italy Princeton University Press

Putnam, Robert (1995) Bowling Alone: America's Declining Social Capital.

Journal of Democracy 6 (1): 65{78.

Putnam, Robert (2000) Bowling Alone: The Collapse and Revival of Amer-

ican Community. New York,Simon and Schuster.

Putnam, Robert E. Pluribus Unum: (2007) Diversity and Community in

the Twenty-rst Century The 2006 Johan Skytte Prize Lecture. The Scan-

dinavian Political Studies Vol. 30, No. 2: 137-174.

Rupasingha, Anil, Stephan J. Goetz, and David Freshwater. (2006) The

production of social capital in US counties. The Journal of Socio-economics

1 : 83-101.

Quillian, L. (1995) Prejudice as a Response to Perceived Group Threat:

Population Composition and Anti-immigrant aamd Racial Prejudice in Eu-

rope. The American Sociological Review 60: 586-611.

Rupasingha, Anil and Stephan J. Goetz, "US County-Level Social Capital

Data, 1990-2005." The Northeast Regional Center for Rural Development,

Penn State University, University Park, PA, 2008.

Solow, Robert. (2000) Notes on Social capital and Economic Perfomance.

Social Capital: A Multifaceted Perspective, Edited by Partha Dasgupta

and Ismail Serageldin. The International Bank of Reconstruction.

Solow, Robert M. (February 1956). "A contribution to the theory of eco-

nomic growth". Quarterly Journal of Economics. Oxford Journals. 70 (1):

{94.

Swan, Trevor W. (November 1956). "Economic growth and capital accu-

mulation". Economic Record. Wiley. 32 (2): 334{361. doi:10.1111/j.1475-

1956.

Stock, J. H., and Yogo, M. (2005). Testing for weak instruments in linear

IV regression. Identication and inference for econometric models: Essays

in honor of Thomas Rothenberg.

U.S. Census Bureau. (2010). USA Counties- Demographic data. [Table].

Retrieved from http://www.censtats.census.gov/usa/usa.shtml




DOI: http://dx.doi.org/10.5202/rei.v%25vi%25i.263

Refbacks

  • There are currently no refbacks.




ISSN 2038 1379 - Copyright © 2009-2018 University of Perugia Electronic Press All rights reserved.