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The Dynamic Consequences of State Building: Evidence from the French Revolution

Author

Listed:
  • Cédric Chambru

    (ENS de Lyon - École normale supérieure de Lyon - Université de Lyon, CERGIC - Center for Economic Research on Governance, Inequality and Conflict - ENS de Lyon - École normale supérieure de Lyon - Université de Lyon)

  • Emeric Henry

    (ECON - Département d'économie (Sciences Po) - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique)

  • Benjamin Marx

    (BU - Boston University [Boston])

Abstract

How do radical reforms shape economic development over time? In 1790, the French Constituent Assembly overhauled the kingdom's organization to establish new local capitals. In some departments, the choice of local capitals over rival candidate cities was plausibly exogenous. We study how changes in administrative presence affect state capacity and development in the ensuing decades. In the short run, administrative proximity increases taxation and investments in law enforcement. In the long run, capitals obtain more public goods and grow faster. Our results shed light on the dynamic impacts of state building following one of history's most ambitious administrative reforms.

Suggested Citation

  • Cédric Chambru & Emeric Henry & Benjamin Marx, 2024. "The Dynamic Consequences of State Building: Evidence from the French Revolution," Post-Print hal-05004038, HAL.
    • Handle: RePEc:hal:journl:hal-05004038
    DOI: 10.1257/aer.20220110
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    Cited by:

    1. Giommoni, Tommaso & Tabellini, Marco & Loumeau, Gabriel, 2025. "Extractive Taxation and the French Revolution," IZA Discussion Papers 17825, Institute of Labor Economics (IZA).
    2. Tommaso Giommoni & Gabriel Loumeau & Marco Tabellini & Gabriel Loumeau, 2025. "Extractive Taxation and the French Revolution," CESifo Working Paper Series 11798, CESifo.
    3. Laura Mayoral & Hannes Mueller, 2025. "Rents, Rules or Revolution: A Survey of Institutional Pathways to Peace," Working Papers 1511, Barcelona School of Economics.

    More about this item

    Keywords

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    JEL classification:

    • D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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