Social cohesion - that is, the inclusiveness of a country's communities - is essential for generating the trust needed to implement reforms. Citizens have to trust that the short-term losses that inevitably arise from reform, will be more than offset by long-term gains. However, in countries...

We present evidence that measures of “social cohesion,” such as income inequality and ethnic fractionalization, endogenously determine institutional quality, which in turn casually determines growth.

Social cohesion - that is, the inclusiveness of a country's communities - is essential for generating the trust needed to implement reforms. Citizens have to trust that the short-term losses that inevitably arise from reform, will be more than offset by long-term gains. However, in countries...

We present evidence that measures of quot;social cohesion,quot; such as income inequality and ethnic fractionalization, endogenously determine institutional quality, which in turn casually determines growth