When are Ghettos Bad? Lessons from Immigrant Segregation in the United States

39 Pages Posted: 27 Jun 2007 Last revised: 1 Oct 2022

See all articles by David M. Cutler

David M. Cutler

Harvard University - Department of Economics; National Bureau of Economic Research (NBER); Harvard University - Harvard Kennedy School (HKS)

Edward L. Glaeser

Harvard University - Department of Economics; Brookings Institution; National Bureau of Economic Research (NBER)

Jacob L. Vigdor

National Bureau of Economic Research (NBER)

Multiple version iconThere are 2 versions of this paper

Date Written: May 2007

Abstract

Recent literature on the relationship between ethnic or racial segregation and outcomes has failed to produce a consensus view of the role of ghettos; some studies suggest that residence in an enclave is beneficial, some reach the opposite conclusion, and still others imply that any relationship is small. This paper presents new evidence on this relationship using data on first-generation immigrants in the United States. Using average group characteristics as instruments for segregation, controlling for individual characteristics and both metropolitan area and country-of-origin fixed effects, we estimate impacts of residential concentration that vary with group human capital levels. Residential concentration can be beneficial, but primarily for more educated groups. The mean impact of residential concentration varies across measures, which may illuminate some of the causal mechanisms relating segregation to outcomes.

Suggested Citation

Cutler, David M. and Glaeser, Edward L. and Vigdor, Jacob L., When are Ghettos Bad? Lessons from Immigrant Segregation in the United States (May 2007). NBER Working Paper No. w13082, Available at SSRN: https://ssrn.com/abstract=986932

David M. Cutler (Contact Author)

Harvard University - Department of Economics ( email )

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Edward L. Glaeser

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Jacob L. Vigdor

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