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Agricultural Institutions, Industrialization and Growth: the Case of New Zealand and Uruguay in 1870-1940

Author

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  • Jeorge Álvarez
  • Ennio Bilancini

    ()

  • Simone D’Alessandro
  • Gabriel Porcile

Abstract

Abstract In this paper we apply a model of early industrialization to the case of New Zealand and Uruguay in 1870-1940. We show how di_erences in agricultural institutions may have produced di_erent development paths in two countries which were similar under many respects. While in New Zealand the active role of the Crown in regulating the land market facilitated access to land, in Uruguay land was seized by a small group of large landowners. Our model shows that land concentration may have negatively inuenced industrialization and growth by impeding the formation of a large group of middle-income landowners and, as a consequence, the development of a domestic demand for basic manufactures. We support this view with a comparative analysis of agricultural institutions and industrial development in New Zealand and Uruguay

Suggested Citation

  • Jeorge Álvarez & Ennio Bilancini & Simone D’Alessandro & Gabriel Porcile, 2010. "Agricultural Institutions, Industrialization and Growth: the Case of New Zealand and Uruguay in 1870-1940," Department of Economics 0635, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".
  • Handle: RePEc:mod:depeco:0635
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    References listed on IDEAS

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    1. Bertocchi, Graziella & Dimico, Arcangelo, 2014. "Slavery, education, and inequality," European Economic Review, Elsevier, vol. 70(C), pages 197-209.
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    Citations

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    Cited by:

    1. Ennio Bilancini, 2010. "On the Rationalizability of Observed Consumers Choise when Prefeerences else," Department of Economics 0636, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".
    2. Reto Bertoni & Henry Willebald, 2015. "Do energy natural endowments matter? New Zealand and Uruguay in a comparative approach (1870-1940)," Documentos de trabajo 35, Programa de Historia Económica, FCS, Udelar.
    3. repec:gam:jsusta:v:10:y:2018:i:3:p:715-:d:134945 is not listed on IDEAS
    4. Bengtsson, Erik & Waldenström, Daniel, 2015. "Capital Shares and Income inequality: Evidence from the Long Run," IZA Discussion Papers 9581, Institute for the Study of Labor (IZA).
    5. Rodríguez Weber, Javier, 2015. "Estimación de desigualdad de ingreso y otras variables relacionadas para Chile entre 1860 y 1970. Metodología y resultados obtenidos
      [Income inequality estimates for Chile between 1860 and 1970. Me
      ," MPRA Paper 68400, University Library of Munich, Germany.
    6. Jorge Álvarez, 2015. "Technological change and productivity growth in the agrarian systems of New Zealand and Uruguay (1870-2010)," Documentos de trabajo 43, Programa de Historia Económica, FCS, Udelar.
    7. Jorge Álvarez, 2013. "The evolution of inequality in Australasia and the River Plate, 1870-1914," Documentos de trabajo 31, Programa de Historia Económica, FCS, Udelar.
    8. Erik Bengtsson & Daniel Waldenstršm, 2016. "Capital shares and income inequality: Evidence from the long run," Working Papers 0092, European Historical Economics Society (EHES).
    9. Bengtsson, Erik & Waldenström, Daniel, 2015. "Capital shares and income inequality: Evidence from the long run," CEPR Discussion Papers 11022, C.E.P.R. Discussion Papers.

    More about this item

    Keywords

    gricultural Institutions; Industrialization; Growth; New Zealand; Uruguay; Functional Distribution; Agricultural surplus;

    JEL classification:

    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • P52 - Economic Systems - - Comparative Economic Systems - - - Comparative Studies of Particular Economies
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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