Slavery, Inequality, and Economic Development in the Americas: An Examination of the Engerman-Sokoloff Hypothesis
Recent research argues that among former New World colonies a nation's past dependence on slave labor was important for its subsequent economic development (Engerman and Sokoloff, 1997, 2002, 2006; Sokoloff and Engerman, 2000). These studies argue that specialization in plantation agriculture based on slave labor caused economic inequality, which concentrated power in the hands of a small elite, adversely affecting the development of domestic institutions needed for sustained economic growth. I test for these relationships looking both across former New World economies and across states and counties within the U.S. I find evidence that slave use is negatively correlated with subsequent economic development. However, I do not find evidence that this negative relationship is driven by large scale plantation slavery, or that the relationship works through slavery’s effect on economic inequality.
|Date of creation:||May 2007|
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- Daron Acemoglu & María Angélica Bautista & Pablo Querubín & James A. Robinson, 2007. "Economic and Political Inequality in Development: The Case of Cundinamarca, Colombia," NBER Working Papers 13208, National Bureau of Economic Research, Inc.
- Kris James Mitchener & Ian W. McLean, 2001.
"The Productivity of U.S. States Since 1880,"
School of Economics Working Papers
2001-08, University of Adelaide, School of Economics.
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