Abstract

This paper analyzes the effects of ethnic and religious diversity on air pollution for 187 countries around the world (categorized into high-income, middle-income and low-income countries) from 1990 to 2020. We determine the long-run relationship between the variables using panel-fixed effects and GMM models. Air pollution emission factors are spatially explicit into emissions of particulate matter (PM_2.5) and nitrogen dioxide (NO₂) and the Alesina’s fragmentation index has been used to calculate ethnic and religious diversity. The results show that ethnic and religious diversity both have significant negative impacts on air pollution (PM_2.5 and NO₂). Furthermore, the results are more significant for high-income and middle-income countries and vice versa for low-income countries. This study suggests that diversity is a natural phenomenon; however, its disastrous effects may be curtailed by providing equal opportunities and promoting a peaceful society, as done in high-income countries, to ensure the well-being of the people through cohesiveness. Policymakers need to promote collective action and communication among different groups while acknowledging that investment for public benefits often requires broad social consensus and solidarity.