A Theory of Strategic Uncertainty and Cultural Diversity
Keyword(s):
Abstract We identify a new mechanism through which cultural diversity affects economic outcomes, based on a model of culture as shared cognition. Under this view, cultural diversity matters because it increases strategic uncertainty. The model can help better understand a variety of disparate evidence, including why homogeneous societies can be more conformist, why diverse societies may get stuck in a low-trust trap, why companies with a strong culture may fail to adopt superior work practices, and why autocratic rulers in diverse societies may overinvest in state capacity.
2020 ◽
Vol 22
(2)
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pp. 208
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2007 ◽
Vol 45
(2)
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pp. 217-232
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2007 ◽
Vol 10
(2)
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pp. 14-17
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Keyword(s):
2003 ◽
Vol 9
(2)
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pp. C2-C2
2003 ◽
Vol 9
(2)
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pp. 207-209
2003 ◽
Vol 9
(1)
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pp. 97-99
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2003 ◽
Vol 9
(1)
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pp. 2-2