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Trade Disruptions and America's Early Industrialization

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  • Douglas A. Irwin
  • Joseph H. Davis

Abstract

Between 1807 and 1815, U.S. imports of manufactured goods were severely cut by Jefferson's trade embargo, subsequent non-importation measures, and the War of 1812. These disruptions are commonly believed to have spurred early U.S. industrialization by promoting the growth of nascent domestic manufacturers. This paper uses a newly available series on U.S. industrial production to investigate how this protection from foreign competition affected domestic manufacturing. On balance, the trade disruptions did not decisively accelerate U.S. industrialization as trend growth in industrial production was little changed over this period. However, the disruptions may have played a limited role in shifting resources from trade-dependent industries (such as shipbuilding) to domestic infant industries (such as cotton textiles).

Suggested Citation

  • Douglas A. Irwin & Joseph H. Davis, 2003. "Trade Disruptions and America's Early Industrialization," NBER Working Papers 9944, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:9944
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    References listed on IDEAS

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    7. Douglas A. Irwin, 2001. "The Welfare Cost of Autarky: Evidence from the Jeffersonian Trade Embargo, 1807-1809," NBER Working Papers 8692, National Bureau of Economic Research, Inc.
    8. Sokoloff, Kenneth L., 1988. "Inventive Activity in Early Industrial America: Evidence From Patent Records, 1790–1846," The Journal of Economic History, Cambridge University Press, vol. 48(4), pages 813-850, December.
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    Cited by:

    1. Douglas A. Irwin, 2019. "U.S. Trade Policy in Historical Perspective," NBER Working Papers 26256, National Bureau of Economic Research, Inc.
    2. Eric Hilt, 2016. "Corporation Law and the Shift toward Open Access in the Antebellum United States," NBER Chapters, in: Organizations, Civil Society, and the Roots of Development, pages 147-177, National Bureau of Economic Research, Inc.
    3. Omid Zamani & Craig Chibanda & Janine Pelikan, 2023. "Unraveling the effects of import bans on domestic poultry production: a case study of Senegal," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-25, December.
    4. Walaa Khoder Kattar & Ahmet Diken, 2020. "Why have USA firms been more effective than the UK firms in the market since the industrial revolution?," Journal of Administrative and Business Studies, Professor Dr. Usman Raja, vol. 6(6), pages 236-245.
    5. Joseph H. Davis, 2005. "An Improved Annual Chronology of U.S. Business Cycles since the 1790's," NBER Working Papers 11157, National Bureau of Economic Research, Inc.

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    JEL classification:

    • F1 - International Economics - - Trade
    • N7 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services

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