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What Drives the Formation and Persistent Development of Territorial States since 1 AD?

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  • James, Ang

Abstract

The importance of the length of state history for understanding variations in income levels, growth rates, quality of institutions and income distributions across countries has received a lot of attention in the recent literature on long-run comparative development. The standard approach, however, is to regard statehood as a given. The main objective of this paper is to explore the determinants of statehood and to uncover its deep historical roots. The empirical analysis shows that early transition to fully-fledged agricultural production, adoption of state-of-the-art military innovations, and more opportunity for economic interaction with the regional economic leader all play a catalytic role in the rise and development of the state. However, the hypothesized positive effect of lower cultural diffusion barriers across borders on the rise of statehood is found to be lacking.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 42357.

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Date of creation: 31 Oct 2012
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Handle: RePEc:pra:mprapa:42357

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Keywords: state antiquity; nation formation; comparative economic development;

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References

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  1. Wacziarg, Romain & Spolaore, Enrico, 2006. "The Diffusion of Development," Research Papers 1898r1, Stanford University, Graduate School of Business.
  2. Areendam Chanda & Louis Putterman, 2004. "Early Starts, Reversals and Catchup in The Process of Economic Development," Working Papers 2004-04, Brown University, Department of Economics.
  3. Timothy Besley & Torsten Persson, 2011. "Fragile States and Development Policy," STICERD - Economic Organisation and Public Policy Discussion Papers Series 022, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
  4. Besley, Timothy J. & Persson, Torsten, 2009. "State Capacity, Conflict and Development," CEPR Discussion Papers 7336, C.E.P.R. Discussion Papers.
  5. James, Ang, 2012. "Institutions and the Long-run Impact of Early Development," MPRA Paper 42199, University Library of Munich, Germany.
  6. Louis Putterman, 2008. "Agriculture, Diffusion and Development: Ripple Effects of the Neolithic Revolution," Economica, London School of Economics and Political Science, vol. 75(300), pages 729-748, November.
  7. Besley, Timothy J. & Persson, Torsten, 2007. "The Origins of State Capacity: Property Rights, Taxation, and Politics," CEPR Discussion Papers 6370, C.E.P.R. Discussion Papers.
  8. Wolfgang Keller, 2000. "Geographic Localization of International Technology Diffusion," NBER Working Papers 7509, National Bureau of Economic Research, Inc.
  9. Bockstette, Valerie & Chanda, Areendam & Putterman, Louis, 2002. " States and Markets: The Advantage of an Early Start," Journal of Economic Growth, Springer, vol. 7(4), pages 347-69, December.
  10. Diego A. Comin & William Easterly & Erick Gong, 2008. "Was the Wealth of Nations Determined in 1000 B.C.?," Harvard Business School Working Papers 09-052, Harvard Business School.
  11. Louis Putterman & David N. Weil, 2010. "Post-1500 Population Flows and the Long-Run Determinants of Economic Growth and Inequality," The Quarterly Journal of Economics, MIT Press, vol. 125(4), pages 1627-1682, November.
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Cited by:
  1. James, Ang, 2012. "Institutions and the Long-run Impact of Early Development," MPRA Paper 42199, University Library of Munich, Germany.
  2. James B. Ang, 2013. "Are modern financial systems shaped by state antiquity?," Development Research Unit Working Paper Series 38-13, Monash University, Department of Economics.

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