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The economic history of Argentina presents one of the most dramatic examples of divergence in the modern era. What happened and why? This paper reviews the wide range of competing explanations in the literature and argues that, setting aside deeper social and political determinants, the various...
Persistent link: https://www.econbiz.de/10011083510
Current orthodoxy suggests that the Industrial Revolution began in Europe because European institutions promoted …
Persistent link: https://www.econbiz.de/10005114184
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Rural areas often have more than one regime of property rights and production. Large, private-property farms owned by powerful landowners coexist with subsistence peasants who farm small plots with limited property rights. At the same time, there is broad consensus that individual,...
Persistent link: https://www.econbiz.de/10010679306
We study the evolution of belief systems that suppress productive effort. These include concerns about the envy of others, beliefs in the importance of luck for success, disdain for competitive effort, and traditional beliefs in witchcraft. We show that such demotivating beliefs can evolve when...
Persistent link: https://www.econbiz.de/10014372420
supply side at center stage, affording little or no role for demand or overseas trade. Recently, alternative explanations … have placed an emphasis on the importance of trade with New World colonies, and the expanded supply of raw cotton it … for 1760 and 1850. Neither claim is supported. Trade was vital for the progress of the industrial revolution; but it was …
Persistent link: https://www.econbiz.de/10005497925
Many previous studies of the role of trade during the British Industrial Revolution have found little or no role for … trade in explaining British living standards or growth rates. We construct a three-region model of the world in which … that while trade had only a small impact on British welfare in the 1760s, it had a very large impact in the 1850s. This …
Persistent link: https://www.econbiz.de/10011083876
We construct a simple model where political elites may block technological and institutional development, because of a ‘political replacement effect.’ Innovations often erode elites’ incumbency advantage, increasing the likelihood that they will be replaced. Fearing replacement, political...
Persistent link: https://www.econbiz.de/10005124137
Persistent link: https://www.econbiz.de/10014457377
Persistent link: https://www.econbiz.de/10011999441