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Regional income dispersion and market potential in the late nineteenth century Hapsburg Empire

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  • Schulze, Max-Stephan

Abstract

This paper presents new regional GDP estimates for the Habsburg Monarchy and constructs measures of market potential for its 22 major regions. The paper argues that regional income differentials were significantly larger, that intra-empire catching-up of poor with rich regions was far more limited and that the empire’s Eastern regions were much further behind Western Europe than suggested in the historiography. The measurement of regional market potential proves strongly sensitive to the composition of foreign economies considered in the computations and the choice of regional ‘nodes’. Further, though being ‘remote’ imposed some penalty, there was no uniform relationship between changes in regions’ relative GDP position and their market potential.

Suggested Citation

  • Schulze, Max-Stephan, 2007. "Regional income dispersion and market potential in the late nineteenth century Hapsburg Empire," Economic History Working Papers 22311, London School of Economics and Political Science, Department of Economic History.
    • Handle: RePEc:ehl:wpaper:22311
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    6. Emanuele Felice & Giovanni Vecchi, 2012. "Italy’s Modern Economic Growth, 1861-2011," Department of Economics University of Siena 663, Department of Economics, University of Siena.
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    8. Liu, Dan & Meissner, Christopher M., 2015. "Market potential and the rise of US productivity leadership," Journal of International Economics, Elsevier, vol. 96(1), pages 72-87.
    9. Julio Martínez-Galarraga, 2014. "Market potential estimates in history: a survey of methods and an application to Spain, 1867-1930," Working Papers 0051, European Historical Economics Society (EHES).
    10. Anna Missiaia, 2019. "Market versus endowment: explaining early industrial location in Italy (1871–1911)," Cliometrica, Journal of Historical Economics and Econometric History, Association Française de Cliométrie (AFC), vol. 13(1), pages 127-161, January.
    11. Martinez-Galarraga, Julio, 2012. "The determinants of industrial location in Spain, 1856–1929," Explorations in Economic History, Elsevier, vol. 49(2), pages 255-275.
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    19. Henry Willebald & Javier Juambeltz, 2018. "Land Frontier Expansion in Settler Economies, 1830–1950: Was It a Ricardian Process?," Palgrave Studies in Economic History, in: Vicente Pinilla & Henry Willebald (ed.), Agricultural Development in the World Periphery, chapter 17, pages 439-466, Palgrave Macmillan.
    20. Paul Caruana-Galizia, 2013. "Indian Regional Income Inequality: Estimates Of Provincial Gdp, 1875-1911," Economic History of Developing Regions, Taylor & Francis Journals, vol. 28(1), pages 1-27, June.
    21. Emanuele Felice & Giovanni Vecchi, 2013. "Italy’s Growth and Decline, 1861-2011," CEIS Research Paper 293, Tor Vergata University, CEIS, revised 11 Oct 2013.
    22. Filip Novokmet, 2018. "The long-run evolution of inequality in the Czech Lands, 1898-2015," Working Papers hal-02878212, HAL.

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    More about this item

    JEL classification:

    • N0 - Economic History - - General
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe
    • B1 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925

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