Abstract
Structural change models are potentially ideal for abstracting from a “watershed” event like the U.S. Civil War, in that they seek to explain the transformation of economies from agricultural to industrial on the basis of labor movement and incentives rather than on technical changes. We define the Civil War as a regime shift that necessitated a structural movement of labor from Southern agriculture to Northern manufacturing, and design empirical tests to determine whether this formulation fits the empirical data better than theories, such as the Beard–Hacker thesis, that characterize the U.S. transformation as an abrupt adjustment to technical shocks. We conclude that the data indicate just such a structural movement.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.