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Long-Term Barriers to Economic Development

  • Spolaore, Enrico

    (Tufts University)

  • Wacziarg, Romain

    (UCLA, NBER and CEPR)

What obstacles prevent the most productive technologies from spreading to less developed economies from the world’s technological frontier? In this paper, we seek to shed light on this question by quantifying the geographic and human barriers to the transmission of technologies. We argue that the intergenerational transmission of human traits, particularly culturally trans- mitted traits, has led to divergence between populations over the course of history. In turn, this divergence has introduced barriers to the di¤usion of technologies across societies. We provide measures of historical and genealogical distances between populations, and document how such distances, relative to the world’s technological frontier, act as barriers to the di¤usion of devel- opment and of speci c innovations. We provide an interpretation of these results in the context of an emerging literature seeking to understand variation in economic development as the result of factors rooted deep in history.

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Paper provided by Competitive Advantage in the Global Economy (CAGE) in its series CAGE Online Working Paper Series with number 149.

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Date of creation: 2013
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Handle: RePEc:cge:wacage:149
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