Working Paper: CEPR ID: DP18489
Authors: Rka Juhsz; Claudia Steinwender
Abstract: We discuss recent work evaluating the role of the government in shaping the economy during the long 19th century, a practice we refer to as industrial policy. We show that states deployed a vastvariety of different policies aimed at, primarily, but not exclusively, fostering industrialization. We discuss the thin, but growing literature that evaluates the economic effects of these policies. We highlight some fruitful avenues for future study.
Keywords: industrial policy; infant industries; technology adoption; technology diffusion; transport infrastructure; industrialization
JEL Codes: L5; N1; N4; N6
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| industrial policy (O25) | economic development (O29) |
| protective tariffs (F52) | economic growth (O49) |
| technology acquisition (O36) | economic growth (O49) |
| human capital development (J24) | economic growth (O49) |
| infrastructure investment (H54) | economic growth (O49) |
| creation of integrated national markets (F15) | local economic benefits (R53) |
| railroads (L92) | market access (L17) |
| railroads (L92) | innovation (O35) |