%0 Report %A Akay, Alpaslan %A Constant, Amelie F. %A Giulietti, Corrado %A Guzi, Martin %T Ethnic Diversity and Well-Being %D 2016 %8 2016 Feb %I Institute of Labor Economics (IZA) %C Bonn %7 IZA Discussion Paper %N 9726 %U https://www.iza.org/publications/dp9726 %X This paper investigates how ethnic diversity, measured by the immigrants' countries of origin, influences the well-being of the host country. Using panel data from Germany for the period 1998 to 2012, we find a positive effect of ethnic diversity on the well-being of German citizens. To corroborate the robustness of our results, we estimate several alternative specifications and investigate possible causality issues, including non-random selection of natives and immigrants into regions. Finally, we explore productivity and social capital as potential mechanisms behind our finding. %K assimilation %K multiculturality %K subjective well-being %K ethnic diversity