Spatial analysis of the effect of cultural diversity on regional development in Turkey

Cultural diversity phenomenon, formed by people from different cultures sharing the same geography, is not a new subject in the world history but has become more common with the globalization process after 1980's. Increasing cultural diversity has attracted the interest of researchers from diverse fields and since the 1990s studies have been undertaken that analyze the impact of cultural diversity on economic performances of countries. In pioneering works on this subject, it has been found that high cultural heterogeneity causes poor economic performance. In the following period, some researchers have shown that under certain conditions, cultural diversity can provide positive economic results. The basic view underlying the positive approach to cultural diversity is that the diversity of ideas is higher in a group of individuals with different cultural backgrounds. This creates a talent complementary effect among individuals and culturally heterogeneous group performs better in a particular job than the homogeneous group. The aim of this study is to examine the impact of cultural diversity on regional development in the scope of 81 NUTS 3 Level regions (provinces) in Turkey. In the study, the cultural diversity index is established according to birth place differences, which is widely accepted in the literature as the measurement criterion. As indicators of regional development, per capita income, innovation and entrepreneurship levels of provinces are used. Empirical analyzes are carried out by spatial statistics and spatial econometric methods. According to the findings obtained in the research, cultural diversity in Turkey, effect regional development in a positive direction. The results are generally consistent with the literature. On the other hand, spatial analyzes indicate the existence of spatial dependence between regions.