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Clans, Guilds, and Markets: Apprenticeship Institutions and Growth in the Pre-Industrial Economy

Author

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  • de la Croix, David

    (Université catholique de Louvain)

  • Doepke, Matthias

    (Northwestern University)

  • Mokyr, Joel

    (Northwestern University)

Abstract

In the centuries leading up to the Industrial Revolution, Western Europe gradually pulled ahead of other world regions in terms of technological creativity, population growth, and income per capita. We argue that superior institutions for the creation and dissemination of productive knowledge help explain the European advantage. We build a model of technological progress in a pre-industrial economy that emphasizes the person-to-person transmission of tacit knowledge. The young learn as apprentices from the old. Institutions such as the family, the clan, the guild, and the market organize who learns from whom. We argue that medieval European institutions such as guilds, and specific features such as journeymanship, can explain the rise of Europe relative to regions that relied on the transmission of knowledge within extended families or clans.

Suggested Citation

  • de la Croix, David & Doepke, Matthias & Mokyr, Joel, 2016. "Clans, Guilds, and Markets: Apprenticeship Institutions and Growth in the Pre-Industrial Economy," IZA Discussion Papers 9828, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp9828
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    More about this item

    Keywords

    dissemination of knowledge; guilds; clans; apprenticeship;
    All these keywords.

    JEL classification:

    • E02 - Macroeconomics and Monetary Economics - - General - - - Institutions and the Macroeconomy
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • N10 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - General, International, or Comparative
    • N30 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - General, International, or Comparative
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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