Diversity and Economic Growth. Some economists and political scientists have suggested that when communities are more racially or ethnically diverse, they invest less in education and spend more on private goods. Assuming this theory is true, there would be Part 2 A. less economic growth because investment in education cost more than spending on private goods. B. more economic growth because spending on private goods generates higher wages. C. more economic growth because spending on private goods generates more employment. D. less economic growth because investment in education has a greater future return than investment in private goods