The Implications of Constructivism for Studying the Relationship Between Ethnic Diversity and Economic Growth.

This paper explores the implications of constructivism for the growing literature that investigates the relationship between ethnic diversity and economic growth. Accepting that ethnic identities are multidimensional and situation-dependent has three principal consequences for studies in this area: it raises concerns about how a country?s ethnic diversity is measured; it introduces the possibility that a country?s diversity may be endogenous to its growth rate; and it suggests the need to be on the lookout for variables that affect both a country?s fractionalization and its economic performance. The paper identifies these potential pitfalls and assesses the extent to which they undermine existing estimates of the effects of diversity on growth. [ABSTRACT FROM AUTHOR]