Working Paper: CEPR ID: DP13303
Authors: Peter Sandholt Jensen; Cristina Victoria Radu; Battista Severgnini; Paul Sharp
Abstract: We provide evidence of how restrictions on labor mobility, such as serfdom and other types of labor coercion, impact labor market outcomes. To do so, we estimate the impact of a large negative shock to labor mobility in the form of the reintroduction of serfdom in Denmark in 1733, which was targeted at limiting the mobility of farmhands. Using a unique data source based on the archives of estates from the eighteenth century, we test whether serfdom affected the wages of farmhands more strongly than other groups in the labor market, and results based on a differences-in-differences approach reveal evidence consistent with a strong negative effect following its introduction. We also investigate whether one mechanism was that boys with rural backgrounds were prevented from taking up apprenticeships in towns, and find suggestive evidence that this was indeed the case. Thus, our results suggest that serfdom was effectively reducing mobility.
Keywords: serfdom; labor mobility; coercion
JEL Codes: J3; N33; P4
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| introduction of serfdom in Denmark in 1733 (Y20) | wages of farmhands (J43) |
| introduction of serfdom in Denmark in 1733 (Y20) | labor mobility (J62) |
| labor mobility (J62) | wages of farmhands (J43) |
| introduction of serfdom in Denmark in 1733 (Y20) | apprenticeships in towns (J24) |
| apprenticeships in towns (J24) | wages of farmhands (J43) |