Scandinavian Working Papers in Economics

Discussion Paper Series in Economics,
Norwegian School of Economics, Department of Economics

No 5/2022: The Impact of Forced Migration on In-Group and Out-Group Social Capital

Anselm Hager and Justin Valasek ()
Additional contact information
Anselm Hager: Humbodt-Universität
Justin Valasek: Dept. of Economics, Norwegian School of Economics and Business Administration, Postal: NHH, Department of Economics, Helleveien 30, N-5045 Bergen, Norway

Abstract: In this paper, we study how forced migration impacts the in-group and out-group social capital of Syrian refugees and the host population in Northern Lebanon by administering a novel survey experiment in which we manipulate the salience of the migration experience (for refugees) and the refugee crisis (for the host population). Additionally, we study the social spillovers to Palestinians, an established refugee population in Lebanon. We find that the impact of forced migration is largely restricted to the Syrian refugee-Lebanese host population channel, and that it increases the relative disparity between in-group and out-group social capital. This may cause refugees to favor in-group interactions and therefore forgo more economically advantageous interactions with out-group members.

Keywords: Refugees; Migration; Social Capital; Experiment; Ethnicity

JEL-codes: C90; D91; J15

Language: English

32 pages, March 15, 2022

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