American Economic Journal:
Macroeconomics
ISSN 1945-7707 (Print) | ISSN 1945-7715 (Online)
Endogenous Infrastructure Development and Spatial Takeoff in the First Industrial Revolution
American Economic Journal: Macroeconomics
vol. 12,
no. 2, April 2020
(pp. 44–93)
(Complimentary)
Abstract
This paper develops a model in which the evolution of the transport sector occurs alongside the growth in trade and output of agricultural and manufacturing firms. Simulation output captures aspects of the historical record of England and Wales over 1710–1881. A number of counterfactuals demonstrate the role that the timing and spatial distribution of infrastructure development play in determining the timing of takeoff. There can be a role for policy in accelerating takeoff through improving infrastructure, but the spatial distribution of that improvement matters.Citation
Trew, Alex. 2020. "Endogenous Infrastructure Development and Spatial Takeoff in the First Industrial Revolution." American Economic Journal: Macroeconomics 12 (2): 44–93. DOI: 10.1257/mac.20160162Additional Materials
JEL Classification
- H54 National Government Expenditures and Related Policies: Infrastructures; Other Public Investment and Capital Stock
- N53 Economic History: Agriculture, Natural Resources, Environment, and Extractive Industries: Europe: Pre-1913
- N63 Economic History: Manufacturing and Construction: Europe: Pre-1913
- N73 Economic History: Transport, Trade, Energy, Technology, and Other Services: Europe: Pre-1913
- N93 Regional and Urban History: Europe: Pre-1913
- R12 Size and Spatial Distributions of Regional Economic Activity
- R42 Transportation Economics: Government and Private Investment Analysis; Road Maintenance, Transportation Planning