Broadberry, Stephen; Ghosal, Sayantan; Proto, Eugenio - Department of Economics, University of Warwick - 2008
We provide a model of the links between commercialisation and technological progress, which is consistent with the … historical evidence and places market relations at the heart of the industrial revolution. First, commercialisation raised wages … monitoring led to the adoption of efficiency wages. Second, commercialisation lowered interest rates as a growing reliance on …