Arbeitspapier

Linguistic Diversity and Workplace Productivity

We study the importance of linguistic diversity in the workplace for workplace productivity. While cultural diversity might improve productivity through new ideas and innovation, linguistic diversity might increase communication costs and thereby reduce productivity. We apply a new measure of languages' linguistic proximity to Norwegian linked employer-employee Manufacturing data from 2003-12, and find that higher workforce linguistic diversity decreases productivity. We find a negative effect also when we take into account the impact of cultural diversity. As expected proficiency in Norwegian of foreign workers improves since their time of arrival in Norway, the detrimental impact disappears.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 12621

Klassifikation
Wirtschaft
Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
Human Capital; Skills; Occupational Choice; Labor Productivity
Thema
productivity
diversity
language diversity
GMM

Ereignis
Geistige Schöpfung
(wer)
Dale-Olsen, Harald
Finseraas, Henning
Ereignis
Veröffentlichung
(wer)
Institute of Labor Economics (IZA)
(wo)
Bonn
(wann)
2019

Handle
Letzte Aktualisierung
10.03.2025, 11:46 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Dale-Olsen, Harald
  • Finseraas, Henning
  • Institute of Labor Economics (IZA)

Entstanden

  • 2019

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