Valuing cultural diversity of cities

David Maré; Jacques Poot

Abstract – Tuhinga Whakarāpopoto

This paper estimates the impact local cultural diversity has on city wage and rent premiums, and whether diversity is a source of local production and/or consumption of amenities. Cultural diversity is measured by birthplace, ethnicity, or religion. The researchers find that the presence of people from different cultural backgrounds enhances the profitability of urban firms. In contrast, a city’s population has a weak preference for living near others who are culturally like them. The effects are stronger in larger cities.

Other reports associated with this research

Maré, D. & Poot, J. (2019). Commuting to diversity. New Zealand Population Review, 45, 125–159.

Maré, D. & Poot, J. (2019). Commuting to diversity. Motu Working Paper 19-20 for Building Better Homes, Towns and Cities: Thriving Regions. November 2019, 35pgs. Wellington: Motu Economic and Public Policy Research.

Articles associated with this research – Karere Tūhono

News: Commuting to diversity

18 May 2020: Does commuting increase workers’ exposure to difference and diversity? The uneven spatial distribution of different population subgroups within cities is well documented. Individual neighbourhoods are generally less diverse than cities as a whole. Building Better researchers David Maré from Motu and Jacques Poot investigate. >> Read More

Keywords – Kupu Hāngai

diversity, population demographics, community, cultural diversity, residential segregation, economics, migration, urban development, fractionalisation, local amenity, urban wages and rents, hedonic regression

Fields of Research – Āpure Rangahau

Geography; Urban Studies; Population Demographics

 

Date – Te Wā Whakarewa

2019-10

 

Type – Te Auaha

Report

Citation – Kupu Hautoa

Maré, D. & Poot, J. (2019). Valuing cultural diversity of cities. Motu Working Paper 19-05 for Building Better Homes, Towns and Cities: Thriving Regions. October 2019, 50pgs. Wellington: Motu Economic and Public Policy Research.