Alesina, Alberto; Gennaioli, Caterina; Lovo, Stefania - Grantham Research Institute on Climate Change and the … - 2014
We show that the level of deforestation in Indonesia is positively correlated with the degree of ethnic fractionalization of the communities. We explore several channels that may link the two variables. They include the negative effect of ethnic fractionalization on the ability to coordinate and...