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Commercial revolutions, search, and development

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  • Maurizion Iacopetta

    (OFCE Sciences Po and Skema BusinesSchool)

Abstract

A society can reap more benefits from an improvement in communication and transportation when the gap between privileged and less-privileged individuals is narrow. This hypothesis is investigated in a Kiyotaki-Wright search environment where people enjoy different rental positions. Historical evidence concerning the rise of Italian seaport cities during the Middle Ages, of the Netherlands in the 17th century, and the nobility ís resistance to trade in pre-revolutionary France is used to support the hypothesis.

Suggested Citation

  • Maurizion Iacopetta, 2016. "Commercial revolutions, search, and development," Documents de Travail de l'OFCE 2016-08, Observatoire Francais des Conjonctures Economiques (OFCE).
    • Handle: RePEc:fce:doctra:1608
    as

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    File URL: http://www.ofce.sciences-po.fr/pdf/dtravail/WP2016-08.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    ; Privileges; resistence to trade; speculative strategies;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • N13 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Europe: Pre-1913
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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