Chapter 19

Culture, Linguistic Diversity, and Economics

Victor A. Ginsburgha,b and Shlomo Weberc,d,    aECARES, Université Libre de Bruxelles, Brussels, Belgium,    bCORE, Université catholique de Louvain, Louvain-la-Neuve, Belgium,    cSouthern Methodist University, Dallas, TX, USA,    dNew Economic School, Moscow, Russia


This chapter examines how cultural similarities (or differences) represented by common language roots affect economic activities. When individuals share some common linguistic repertoires, they are more inclined to develop commercial relationships and conduct business transactions than in the absence of such commonalities. The link between language, culture, and economic activity is confirmed by the burgeoning empirical ...

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