Anderberg, Dan; Dahl, Gordon B.; Felfe, Christina; … - 2024
What makes diversity unifying in some settings but divisive in others? We examine how the mixing of ethnic groups in … within schools to obtain variation in the type of diversity that prevails in a peer group. We combine this with a large …-based discrimination, both of which are costly and lead to lower payouts. In contrast, accurate statistical discrimination is ruled out by …