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Ethnic Federalism and Horizontal Inequality: The Case of Education in Ethiopia

Fri, September 6, 10:00 to 11:30am, Loews Philadelphia Hotel, Tubman

Abstract

“Horizontal” inequalities between ethnic groups are strongly linked to violent civil conflict. In countries where ethnic groups are concentrated in distinct homeland regions, ethnic federalism has the potential to reduce such inequalities by devolving control of resources to leaders representing the different groups. This proposition remains mostly theoretical, as little research has examined whether such strategies can effectively reduce horizontal inequalities. We provide new evidence from Ethiopia. We focus on the long-term impact of the introduction of ethnic federalism in Ethiopia in 1994. Using waves of the nationally representative Demographic and Health Surveys and difference-in-differences and difference-in-trends analyses, we study how educational attainment evolves over cohorts from different ethnic groups. We find that the introduction of ethnic federalism strongly reduced the advantages enjoyed by the pre-transition dominant Amharic minority group. These gains were not enjoyed equally, and rather were concentrated among the Tigray minority group, reflecting their emerging political prominence. Ethnic federalism can usher in dramatic long-term change, although it still allows for a considerable concentration of privilege.

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