Using comprehensive data for German establishments (1999-2008), we estimate plant-level production functions to analyze if “cultural diversity†affects total factor productivity. We distinguish diversity in the establishment’s workforce and in the aggregate regional labor force...

Using comprehensive data for German establishments (1999-2008), we estimate plant-level production functions to analyze if “cultural diversity” affects total factor productivity. We distinguish diversity in the establishment’s workforce and in the aggregate regional labor force where the...