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Spatial Takeoff in the First Industrial Revolution

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  • Trew, Andrew

Abstract

Using the framework of Desmet and Rossi-Hansberg (forthcoming), we present a model of spatial takeoff that is calibrated using spatially-disaggregated occupational data for England in c.1710. The model predicts changes in the spatial distribution of agricultural and manufacturing employment which match data for c.1817 and 1861. The model also matches a number of aggregate changes that characterise the first industrial revolution. Using counterfactual geographical distributions, we show that the initial concentration of productivity can matter for whether and when an industrial takeoff occurs. Subsidies to innovation in either sector can bring forward the date of takeoff while subsidies to the use of land by manufacturing firms can significantly delay a takeoff because it decreases spatial concentration of activity.

Suggested Citation

  • Trew, Andrew, 2014. "Spatial Takeoff in the First Industrial Revolution," SIRE Discussion Papers 2014-013, Scottish Institute for Research in Economics (SIRE).
  • Handle: RePEc:edn:sirdps:559
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    Cited by:

    1. Morgan Kelly & Joel Mokyr & Cormac Ó Gráda, 2020. "The Mechanics of the Industrial Revolution," Working Papers 202016, School of Economics, University College Dublin.
    2. Alex Trew, 2016. "Endogenous Infrastructure Development and Spatial Takeoff," Discussion Paper Series, School of Economics and Finance 201601, School of Economics and Finance, University of St Andrews, revised 17 Jan 2019.
    3. Dávid Krisztián Nagy, 2021. "Quantitative Economic Geography Meets History: Questions, Answers and Challenges," Working Papers 1249, Barcelona Graduate School of Economics.
    4. Sarid, Assaf & Mokyr, Joel & van der Beek, Karine, 2019. "The Wheels of Change: Human Capital, Millwrights, and Industrialization in Eighteenth-Century England," CEPR Discussion Papers 14138, C.E.P.R. Discussion Papers.
    5. Desmet, Klaus & Henderson, J. Vernon, 2015. "The Geography of Development Within Countries," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1457-1517, Elsevier.
    6. David Krisztián Nagy, 2020. "Hinterlands, city formation and growth: evidence from the U.S. westward expansion," Economics Working Papers 1717, Department of Economics and Business, Universitat Pompeu Fabra.
    7. Veselov, D. & Yarkin, A., 2016. "Wealth Distribution and Political Conflict in the Model of Transition from Stagnation to Growth," Journal of the New Economic Association, New Economic Association, vol. 32(4), pages 30-60.
    8. Konstantinos Koasidis & Alexandros Nikas & Hera Neofytou & Anastasios Karamaneas & Ajay Gambhir & Jakob Wachsmuth & Haris Doukas, 2020. "The UK and German Low-Carbon Industry Transitions from a Sectoral Innovation and System Failures Perspective," Energies, MDPI, Open Access Journal, vol. 13(19), pages 1-34, September.
    9. David Krisztián Nagy, 2020. "Quantitative economic geography meets history: Questions, answers and challenges," Economics Working Papers 1774, Department of Economics and Business, Universitat Pompeu Fabra, revised Mar 2021.

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    More about this item

    Keywords

    Endogenous growth; first industrial revolution; economic geography; structural change;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • N13 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Europe: Pre-1913
    • N93 - Economic History - - Regional and Urban History - - - Europe: Pre-1913
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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