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Population Diversity, Division of Labor and the Emergence of Trade and State

Listed author(s):
  • Emilio Depetris-Chauvin

    ()

  • Ömer Özak

    ()

This research explores the emergence and prevalence of economic specialization and trade in pre-modern societies. It advances the hypothesis, and establishes empirically that population diversity had a positive causal effect on economic specialization and trade. Based on a novel ethnic level dataset combining geocoded ethnographic and genetic data, this research exploits the exogenous variation in population diversity generated by the “Out-of-Africa” migration of anatomically modern humans to causally establish the positive effect of population diversity on economic specialization and the emergence of trade-related institutions, which, in turn, facilitated the historical formation of states. Additionally, it provides suggestive evidence that regions historically inhabited by pre-modern societies with high levels of economic specialization have a larger occupational heterogeneity and are more developed today.

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File URL: http://economia.uniandes.edu.co/publicaciones/dcede2015-43.pdf
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Paper provided by UNIVERSIDAD DE LOS ANDES-CEDE in its series DOCUMENTOS CEDE with number 014228.

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Length: 76
Date of creation: 01 Dec 2015
Handle: RePEc:col:000089:014228
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