Regional cultural diversity in Russia: does it matter for regional economic performance?

Abstract

About 80% of the population of contemporary Russia are Russians. The remaining 20% are members of more than 180 other nationalities. In spite of processes of ethnic assimilation throughout Russian history, many ethnic groups retain their cultural identities. Cultural diversity in contemporary Russian society is determined by the historically rooted structure of ethnic and cultural space, and recent international and interregional migration. Although there is in general no relationship in Russia between ethnic heterogeneity and regional economic growth and convergence, there is an association between migration-induced diversity and growth, and there are regionally differentiated impacts of diversity on productivity. Regional spending on education is inversely related to ethnic heterogeneity. Differences between these results and the results of comparable studies of rich countries are considered.