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Failure to Launch? The Role of Land Inequality in Transition Delays

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  • Andros Kourtellos
  • Ioanna Stylianou
  • Chih Ming Tan

Abstract

Recent work in the growth literature has provided various explanations for transition delays and the great divergence. This paper provides empirical support for one theory of transition delays: initial land inequality. Our analysis is designed to elucidate the channels via which land inequality can affect long-run economic performance. Using a new historical data set for land inequality (Frankema (2009)) we employ duration analysis to investigate whether higher levels of land inequality lead to longer delays in the extension of primary schooling. We then investigate whether such delays affect long-run economic performance via their effect on contemporaneous schooling. Our findings suggest that land inequality is a key determinant of delays in schooling, and that such delays have a significant negative impact on long-run output.

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File URL: http://papers.econ.ucy.ac.cy/RePEc/papers/6-2011.pdf
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Bibliographic Info

Paper provided by University of Cyprus Department of Economics in its series University of Cyprus Working Papers in Economics with number 06-2011.

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Length: 37 pages
Date of creation: May 2011
Date of revision:
Handle: RePEc:ucy:cypeua:06-2011

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Web page: http://www.econ.ucy.ac.cy

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Keywords: growth takeoffs; schooling; duration analysis; model uncertainty; institutions.;

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