Working Paper: NBER ID: w23197
Authors: Raphal Franck; Oded Galor
Abstract: The research explores the effect of industrialization on human capital formation. Exploiting exogenous regional variations in the adoption of steam engines across France, the study establishes that, in contrast to conventional wisdom that views early industrialization as a predominantly deskilling process, the industrial revolution was conducive for human capital formation, generating wide-ranging gains in literacy rates and educational attainment.
Keywords: industrialization; human capital; steam engines; literacy; education
JEL Codes: N33; N34; O14; O33
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Geographical distance from Fresnes-sur-Escaut (R12) | Number of steam engines (N71) |
| Number of steam engines (N71) | Human capital formation (J24) |
| Number of steam engines (N71) | Number of teachers (A29) |
| Number of steam engines (N71) | Share of children in primary schools (I21) |
| Number of steam engines (N71) | Share of apprentices (J24) |
| Number of steam engines (N71) | Share of literate conscripts (J45) |
| Number of steam engines (N71) | Public spending on primary schooling (H52) |