Working Paper: NBER ID: w31736
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. States deployed a vast variety of different policies aimed at, primarily, but not exclusively, fostering industrialization. A thin, but growing literature has started to evaluate the economic effects of these policies, but many questions remain open for study.
Keywords: industrial policy; Great Divergence; economic development; 19th century; state intervention
JEL Codes: F14; N10; O14; O33
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 and industrialization in various countries (O14) |
| Protective tariffs (F52) | Growth of infant industries in developing countries (O25) |
| Tariff structure (L11) | Relative prices favoring light manufacturing (F16) |