In-migration and Dilution of Community Social Capital

In this paper, we find that higher levels of in-migration dilute multiple dimensions of a community’s social capital, with some measures of a community’s social capital being negatively impacted more than others. Using a spatial model and restricted-access microdata from the US Census Bureau, we employ an instrumental variables strategy to account for the endogeneity of migration. Our results suggest that political activism, overall, is most negatively impacted by in-migration, and that religiosity, trust, and community involvement are impacted more negatively in rural communities compared to non-rural communities.