Oil and Ethnic Inequality in Nigeria

Oil prices experienced in early life predict differential adult outcomes across Nigerian ethnic groups.  Our difference-in-difference approach compares members of southern ethnicities to other Nigerians from the same birth cohort.  Greater prices in a southern individual's birth year predict positive relative outcomes, including reduced fertility, delayed marriage, higher probabilities of working and having a skilled occupation, and greater schooling.  By contrast, health outcomes suffer, including reduced height and increased BMI.  These microeconomic impacts can be explained by macroeconomic responses to greater oil prices.  Relative Southern incomes increase, food production declines, maternal labor intensifies and Southern conflict rises.