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What Drives the Formation and Persistent Development of Territorial States since 1 AD?

  • James, Ang

The importance of the length of state history for understanding variations in income levels, growth rates, quality of institutions and income distributions across countries has received a lot of attention in the recent literature on long-run comparative development. The standard approach, however, is to regard statehood as a given. The main objective of this paper is to explore the determinants of statehood and to uncover its deep historical roots. The empirical analysis shows that early transition to fully-fledged agricultural production, adoption of state-of-the-art military innovations, and more opportunity for economic interaction with the regional economic leader all play a catalytic role in the rise and development of the state. However, the hypothesized positive effect of lower cultural diffusion barriers across borders on the rise of statehood is found to be lacking.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 42357.

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Date of creation: 31 Oct 2012
Date of revision:
Handle: RePEc:pra:mprapa:42357
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  1. Areendam Chanda & Louis Putterman, . "Early Starts, Reversals and Catchup in the Process of Economic Development," Departmental Working Papers 2005-06, Department of Economics, Louisiana State University.
  2. Timothy J. Besley & Torsten Persson, 2009. "State Capacity, Conflict and Development," NBER Working Papers 15088, National Bureau of Economic Research, Inc.
  3. Louis Putterman & David N. Weil, 2010. "Post-1500 Population Flows and The Long-Run Determinants of Economic Growth and Inequality," The Quarterly Journal of Economics, Oxford University Press, vol. 125(4), pages 1627-1682.
  4. Diego A. Comin & William Easterly & Erick Gong, 2008. "Was the Wealth of Nations Determined in 1000 B.C.?," Harvard Business School Working Papers 09-052, Harvard Business School.
  5. repec:oup:qjecon:v:125:y:2010:i:4:p:1627-1682 is not listed on IDEAS
  6. Spolaore, Enrico & Wacziarg, Romain, 2006. "The Diffusion of Development," CEPR Discussion Papers 5630, C.E.P.R. Discussion Papers.
  7. Bockstette, Valerie & Chanda, Areendam & Putterman, Louis, 2002. " States and Markets: The Advantage of an Early Start," Journal of Economic Growth, Springer, vol. 7(4), pages 347-69, December.
  8. Timothy Besley & Torsten Persson, 2009. "The Origins of State Capacity: Property Rights, Taxation, and Politics," American Economic Review, American Economic Association, vol. 99(4), pages 1218-44, September.
  9. repec:oup:qjecon:v:124:y:2009:i:2:p:469-529 is not listed on IDEAS
  10. Keller, Wolfgang, 2001. "Geographic Localization of International Technology Diffusion," CEPR Discussion Papers 2706, C.E.P.R. Discussion Papers.
  11. James B. Ang, 2012. "Institutions And The Long-Run Impact Of Early Development," Monash Economics Working Papers 49-12, Monash University, Department of Economics.
  12. Timothy Besley & Torsten Persson, 2011. "Fragile States and Development Policy," STICERD - Economic Organisation and Public Policy Discussion Papers Series 022, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
  13. Louis Putterman, 2006. "Agriculture, Diffusion,and Development: Ripple Effects of the Neolithic Revolutions," Working Papers 2006-19, Brown University, Department of Economics.
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