Over the last two decades there has been a growing debate on the supposedly negative relation between ethnic diversity, public goods production and social cohesion. Despite the amount of evidence, existing in-depth qualitative reviews conclude that the literature is inconclusive. Advancing upon...

The question whether ethnic diversity is associated with declining social cohesion has produced much controversy. We maintain that more attention must be paid to cognitive mechanisms to move the debate ahead. Using survey data from 938 localities in Germany, France, and the Netherlands, we...

I empirically assess the importance of socially interdependent origin cultures as opposed to socially independent ones for network effects in inter-national migration. I propose that societies that emphasise collectivist behaviour accumulate larger levels of communityspecific social capital than...

We explore the role of social capital in the spread of the recent Covid-19 pan­demic in independent analyses for Austria, Germany, Italy, the Netherlands, Swe­den, Switzerland and the UK. We exploit within-country variation in social capital and Covid-19 cases to show that high-social-capital...

Despite numerous studies on the social and political impact of refugees in Europe, we have very little systematic evidence on the impact of refugee settlement on social cohesion in the developing world. Using data gathered in Northern Lebanon, we show that increased salience of the "refugee...

When banks choose similar investment strategies, the financial system becomes vulnerable to common shocks. Banks decide about their investment strategy ex-ante based on a private belief about the state of the world and a social belief formed from observing the actions of peers. When the social...

We investigate experimentally whether social learners appreciate the redundancy of information conveyed by their observed predecessors' actions. Each participant observes a private signal and enters an estimate of the sum of all earlier-moving participants' signals plus her own. In a first...

The creation and effects of social capital have seldom been a target for systematic analysis in orthodox economics. The purpose of the paper is to argue that in order to include social capital, along with physical and human, into economic analysis, we have to regard human preferences as...

In this study, we address the question of why some CEOs stay in office during a performance downturn while others don't. Based on a social capital perspective we assume that (1) the social capital endowment of an underperforming CEO may reduce the risk of getting dismissed and that (2) the...