Working Paper: CEPR ID: DP1104
Authors: Leandro Prados de la Escosura; Jorge C. Sanz
Abstract: After presenting trends in aggregate performance within a comparative convergence framework, this paper explores institutional and macroeconomic features as the ultimate explanations of Spain's post-war growth performance. The following main phases are distinguished: the autarchy period (1939-59), the years of growth and delayed reconstruction (1959-75), the relative stagnation of the transition from Franco's dictatorship to democracy (1975-85), which ended with Spain's membership of the European Community and gave way to a short period of accelerating growth which ended abruptly with the recession of the early 1990s.
Keywords: Spain; Economic Growth; Catch-up; Autarchy; Trade Liberalization
JEL Codes: N14; O52
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Autarchy period (1939-1959) (P39) | Inefficiencies and stagnant economy (P19) |
| Post-1959 period (P30) | Growth through increased productivity and capital inflow (O49) |
| Transition from dictatorship to democracy (1975-1985) (P39) | Adverse effects on investment and labor markets (F66) |
| Spain's entry into the European Community (1986) (F55) | Recovery and growth (O00) |
| Recovery post-1986 (E65) | Interrupted by recession in the early 1990s (E65) |