Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/232771 
Year of Publication: 
2021
Series/Report no.: 
IZA Discussion Papers No. 14019
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
Ethnic background is a well recognized complementary factor in human capital accumulation process. This paper investigates how three aspects of ethnicity affect human capital formation: group's quality, size and closeness of ties. Relying on heteroskedasticity to identify parameters in the presence of endogenous regressors, I find evidence of heterogenous effects of ethnicity for men and women. The results show that women in groups characterized by close ties benefit from high-quality ethnic environment, regardless of the group's size. In contrast, among men, the group's size appears to be of importance, and men in large groups characterized by loose ties benefit the most from higher quality of the ethnic group. The results are consistent with different socialization patterns, as evidenced by the literature.
Subjects: 
human capital formation
ethnicity
endogamy
networks
identification through conditional second moments
JEL: 
J62
J16
J15
Document Type: 
Working Paper

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