IDEAS home Printed from https://ideas.repec.org/a/seh/journl/y2015i66maugustp75-104.html
   My bibliography  Save this article

Distributive patterns in settler economies: agricultural income inequality during the First Globalization (1870-1913)

Author

Listed:
  • Henry Willebald

    (Universidad de la República (Uruguay))

Abstract

The aim of this paper is to identify different distributive patterns in the settIer economies of Argentina, Australia, Canada, Chile, New Zealand and Uruguay during the First Globalization (1870-1913).As agriculture was the most important activity in settIer economies and the main sector that led to land expansion on the frontier, a study of the process of income generation and the evolution of distribution in this sector is of great interest. The empirical research offered here includes a discussion of the research methodology, the results and some conjectures about long-run inequalities. First, agricultural income (or product) per worker is estimated and, based on a shift share approach, the relative performance of the countries in the 'club' is analysed, focusing on (total and sector) growth and convergence. Then the functional income distribution is presented (total wages, land rents and profits) and two distributive patterns are discussed. On the one hand, former British territories promoted capitalist relations with relatively high wages and profits that encouraged larger markets and greater investment. In contrast, former Spanish colonies had economic relations based on agrarian rents, which made for income concentration and low stimulus to capital accumulation. During this period income distribution worsened in the Australasian economies and Canada, but it deteriorated even more significantly in the South American Southern Cone. These differences among settIer economies are consistent with dissimilar dynamics of expansion into new land and the consolidation of institutional arrangements that caused contrasting patterns of distribution.

Suggested Citation

  • Henry Willebald, 2015. "Distributive patterns in settler economies: agricultural income inequality during the First Globalization (1870-1913)," Historia Agraria. Revista de Agricultura e Historia Rural, Sociedad Española de Historia Agraria, issue 66, pages 75-104, august.
  • Handle: RePEc:seh:journl:y:2015:i:66:m:august:p:75-104
    as

    Download full text from publisher

    File URL: http://repositori.uji.es/xmlui/bitstream/handle/10234/163931/2016%2c%2066%2c%2075-104.pdf?sequence=1&isAllowed=y
    Download Restriction: no

    References listed on IDEAS

    as
    1. Milanovic, Branko & Lindert, Peter & Williamson, Jeffrey, 2007. "Measuring Ancient Inequality," MPRA Paper 5388, University Library of Munich, Germany.
    2. Thorvaldur Gylfason & Gylfi Zoega, 2006. "Natural Resources and Economic Growth: The Role of Investment," The World Economy, Wiley Blackwell, vol. 29(8), pages 1091-1115, August.
    3. Williamson Jeffrey G., 1995. "The Evolution of Global Labor Markets since 1830: Background Evidence and Hypotheses," Explorations in Economic History, Elsevier, vol. 32(2), pages 141-196, April.
    4. Ronald Findlay, 1995. "Factor Proportions, Trade, and Growth," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262061759, March.
    5. Jeffrey G. Williamson, 2007. "Relative Factor Prices In The Periphery During The First Global Century: Any Lessons For Today?," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 47(2), pages 200-206, July.
    6. Prados de la Escosura, Leandro, 2005. "Gerschenkron revisited. European patterns of development in historical perspective," IFCS - Working Papers in Economic History.WH wh057910, Universidad Carlos III de Madrid. Instituto Figuerola.
    7. Jorge Álvarez & Henry Willebald, 2013. "Agrarian income distribution, land ownership systems, and economic performance: Settler economies during the first globalization," Documentos de trabajo 30, Programa de Historia Económica, FCS, Udelar.
    8. Bértola, Luis & Castelnovo, Cecilia & Rodríguez, Javier & Willebald, Henry, 2010. "Between the colonial heritage and the first globalization boom: on income inequality in the Southern Cone," Revista de Historia Económica, Cambridge University Press, vol. 28(02), pages 307-341, September.
    9. Wong, Wei-Kang, 2006. "OECD convergence: A sectoral decomposition exercise," Economics Letters, Elsevier, vol. 93(2), pages 210-214, November.
    10. Rodríguez, Javier & Willebald Remedios, Henry Francisco & Bértola, Luis & Castelnovo, Cecilia, 2008. "Income distribution in the Latin American Southern Cone during the first globalization boom, ca: 1870-1920," IFCS - Working Papers in Economic History.WH wp08-05, Universidad Carlos III de Madrid. Instituto Figuerola.
    11. J.C.Herbert Emery & Kris Inwood & Henry Thille, 2007. "Hecksher-Ohlin In Canada: New Estimates Of Regional Wages And Land Prices," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 47(1), pages 22-48, March.
    12. MartinP. Shanahan & JohnK. Wilson, 2007. "Measuring Inequality Trends In Colonial Australia Using Factor-Price Ratios: The Importance Of Boundaries," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 47(1), pages 6-21, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Agriculture; Functional income distribution; first globalization; land ownership; settler economies;

    JEL classification:

    • N36 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Latin America; Caribbean
    • N37 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Africa; Oceania
    • N56 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Latin America; Caribbean
    • N57 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Africa; Oceania

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:seh:journl:y:2015:i:66:m:august:p:75-104. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Vicente Pinilla). General contact details of provider: http://edirc.repec.org/data/sehiaea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.