TY - JOUR AU - Borjas,George J. TI - Ethnicity, Neighborhoods, and Human Capital Externalities JF - National Bureau of Economic Research Working Paper Series VL - No. 4912 PY - 1994 Y2 - November 1994 UR - http://www.nber.org/papers/w4912 L1 - http://www.nber.org/papers/w4912.pdf N1 - Author contact info: George J. Borjas Harvard Kennedy School 79 JFK Street Cambridge, MA 02138 Tel: 617/495-1393 Fax: 617/495-9532 E-Mail: gborjas@harvard.edu AB - The socioeconomic performance of today's workers depends not only on parental skills, but also on the average skills of the ethnic group in the parent's generation (or ethnic capital). This paper investigates the link between the ethnic externality and ethnic neighborhoods. The evidence indicates that residential segregation and the external effect of ethnicity are linked, partly because ethnic capital summarizes the socioeconomic background of the neighborhood where the children were raised. Ethnicity has an external effect, even among persons who grow up in the same neighborhood, when children are exposed frequently to persons who share the same ethnic background. ER -