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Infant Industry Protection and the Growth of Canada's Cotton Mills: A Test of the Chang Hypothesis

Author

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  • Michael N.A. Hinton

    (The Rimini Centre for Economic Analysis (RCEA), Italy)

Abstract

I argue that the 19th century Canadian cotton textile industry was an extremely successful infant industry. Judging the industry's performance by seven widely-employed measures of success – growth in output, contemporary opinion, size, the use of the most modern machinery, exports, and relative total factor productivity – it is shown that the growth of Canada's cotton mills provides strong support for Chang's provocative hypothesis that infant industry protection was the way the rich countries of today grew rich in the nineteenth century.

Suggested Citation

  • Michael N.A. Hinton, 2012. "Infant Industry Protection and the Growth of Canada's Cotton Mills: A Test of the Chang Hypothesis," Working Paper series 55_12, Rimini Centre for Economic Analysis.
  • Handle: RePEc:rim:rimwps:55_12
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    File URL: http://www.rcea.org/RePEc/pdf/wp55_12.pdf
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    References listed on IDEAS

    as
    1. Kris Inwood & Ian Keay, 2006. "Assessing Economic Performance among North American Manufacturing Establishments, 1870/71: Data, Methodology and Measurement Issues," Working Papers 1030, Queen's University, Department of Economics.
    2. Harley, C. Knick, 2001. "The Antebellum Tariff: Different Products Or Competing Sources? A Comment On Irwin And Temin," The Journal of Economic History, Cambridge University Press, vol. 61(03), pages 799-805, September.
    3. Broadberry,Steve N., 2005. "The Productivity Race," Cambridge Books, Cambridge University Press, number 9780521023580, March.
    4. Easton, Stephen T. & Gibson, William A. & Reed, Clyde G., 1988. "Tariffs and growth: The dales hypothesis," Explorations in Economic History, Elsevier, vol. 25(2), pages 147-163, April.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Infant Industry Protection; Total Factor Productivity; Cotton Textiles;

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • L67 - Industrial Organization - - Industry Studies: Manufacturing - - - Other Consumer Nondurables: Clothing, Textiles, Shoes, and Leather Goods; Household Goods; Sports Equipment
    • N60 - Economic History - - Manufacturing and Construction - - - General, International, or Comparative
    • N61 - Economic History - - Manufacturing and Construction - - - U.S.; Canada: Pre-1913
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

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