Diversity and neighbourhood satisfaction

Publication type

Research Paper


Monica Langella and Alan Manning

Publication date

Series Number



This paper investigates the impact of ethnic diversity on individuals’ overall satisfaction with and other aspects of their neighbourhood. It uses panel data and a variety of empirical methods to control for potential endogeneity of diversity and of the location choices. We find that a higher white share in the neighbourhood raises overall satisfaction with the neighbourhood in our (overwhelming white) sample, but has no significant impact on generalised trust or other commonly-used measures of social capital. We suggest that part of the impact of diversity on overall neighbourhood satisfaction may be through an effect on a fear of crime and the quality of social life.




Area Effects, Social Networks, Crime And Justice, Ethnic Groups, Well Being, Societies, Social Capital, Social Behaviour and Social Psychology