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Logistics, Market Size and Giant Plants in the Early 20th Century: A Global View

  • Leslie Hannah

    (Faculty of Economis, University of Tokyo and Ecole des Hautes Etudes en Sciences Sociales)

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    Around 1900, the businesses of developed Europe - transporting freight by a more advantageous mix of ships, trains and horses - encountered logistic barriers to trade lower than the tyranny of distance imposed on the sparsely populated United States. Highly urbanized, economically integrated and compact northwest Europe was a market space larger than, and - factoring in other determinants besides its (low) tariffs - not less open to inter-country trade than the contemporary American market was to interstate trade. By the early twentieth century, the First European Integration enabled mines and factories - in small, as well as large, countries - to match the size of United States plants, where factor endowments, consumer demand or scale economies required that.

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    File URL: http://www.cirje.e.u-tokyo.ac.jp/research/dp/2007/2007cf486.pdf
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    Paper provided by CIRJE, Faculty of Economics, University of Tokyo in its series CIRJE F-Series with number CIRJE-F-486.

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    Length: 57 pages
    Date of creation: Mar 2007
    Date of revision:
    Handle: RePEc:tky:fseres:2007cf486
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    1. James, John A., 1983. "Structural Change in American Manufacturing, 1850–1890," The Journal of Economic History, Cambridge University Press, vol. 43(02), pages 433-459, June.
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    7. Tim Leunig, 2003. "A British industrial success: productivity in the Lancashire and New England cotton spinning industries a century ago," LSE Research Online Documents on Economics 494, London School of Economics and Political Science, LSE Library.
    8. Harold Barger, 1951. "The Transportation Industries, 1889-1946: A Study of Output, Employment, and Productivity," NBER Books, National Bureau of Economic Research, Inc, number barg51-1, December.
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    10. Douglas A. Irwin, 2002. "Interpreting the Tariff–Growth Correlation of the Late 19th Century," American Economic Review, American Economic Association, vol. 92(2), pages 165-169, May.
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    12. Broadberry, Stephen N., 1998. "How Did the United States and Germany Overtake Britian? A Sectoral Analysis of Comparative Productivity Levels, 1870–1990," The Journal of Economic History, Cambridge University Press, vol. 58(02), pages 375-407, June.
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