nep-evo New Economics Papers
on Evolutionary Economics
Issue of 2017‒12‒18
six papers chosen by
Matthew Baker
City University of New York

  1. Economic Origins of Cultural Norms: The Case of Animal Husbandry and Bastardy By Christoph Eder; Martin Halla
  2. UNREAL WAGES? REAL INCOME AND ECONOMIC GROWTH IN ENGLAND, 1260-1850 By Jane Humphries; Jacob Weisdorf
  3. The Long-run Effects of Agricultural Productivity on Conflict, 1400-1900 By Murat Iyigun; Nathan Nunn; Nancy Qian
  4. The Origins of Cultural Divergence: Evidence from a Developing Country By Ho, Hoang-Anh; Martinsson, Peter; Olsson, Ola
  5. Behavioral economics and auto-images of distributions of random variables By Harin, Alexander
  6. Spatial Patterns of Development: A Meso Approach By Michalopoulos, Stelios; Papaioannou, Elias

  1. By: Christoph Eder; Martin Halla
    Abstract: This paper explores the historical origins of the cultural norm regarding illegitimacy (formerly known as bastardy). We test the hypothesis that traditional agricultural production structures influenced the historical illegitimacy ratio, and have had a lasting effect until today. Based on data from the Austro-Hungarian Empire and modern Austria, we show that regions that focused on animal husbandry (as compared to crop farming) had significantly higher illegitimacy ratios in the past, and female descendants of these societies are still more likely to approve illegitimacy and give birth outside of marriage today. To establish causality, we exploit, within an IV approach, variation in the local agricultural suitability, which determined the historical dominance of animal husbandry. Since differences in the agricultural production structure are completely obsolete in today’s economy, we suggest interpreting the persistence in revealed and stated preferences as a cultural norm. Complementary evidence from an ‘epidemiological approach’ suggests that this norm is passed down through generations, and the family is the most important transmission channel. Our findings point to a more general phenomenon that cultural norms can be shaped by economic conditions, and may persist, even if economic conditions become irrelevant.
    Keywords: Cultural norms, persistence, animal husbandry, illegitimacy.
    JEL: Z1 A13 J12 J13 J43 N33
    Date: 2017–12
    URL: http://d.repec.org/n?u=RePEc:jku:econwp:2017_19&r=evo
  2. By: Jane Humphries (Professor of Economic History, All Souls College, Economics and Business, University of Oxford); Jacob Weisdorf (Professor of Economics, Department of Economics and Business, University of Southern Denmark, DK-5320 Odense)
    Abstract: Historical estimates of workers’ earnings suffer from the fundamental problem that annual incomes are inferred from day wages without knowing the length of the working year. This uncertainty raises doubts about core growth theories that rely on existing income estimates to explain the origins of the wealth of nations. We circumvent the problem by building an income series of workers employed on annual rather than casual contracts. Our data suggests that existing annual income estimates based on day wages are badly off target, because they overestimate the medieval working year but underestimate the working year during the industrial revolution. Our revised annual income estimates indicate that modern economic growth began almost two centuries earlier than commonly thought and was driven by an ‘Industrious Revolution’.
    Keywords: England; Industrial Revolution; Industrious Revolution; Labour Supply; Living standards; Malthusian Model; Modern Economic Growth; Real Wages
    JEL: J3 J4 J5 J6 J7 J8 N33
    Date: 2017–12
    URL: http://d.repec.org/n?u=RePEc:hes:wpaper:0121&r=evo
  3. By: Murat Iyigun; Nathan Nunn; Nancy Qian
    Abstract: This paper provides evidence of the long-run effects of a permanent increase in agricultural productivity on conflict. We construct a newly digitized and geo-referenced dataset of battles in Europe, the Near East and North Africa covering the period between 1400 and 1900 CE. For variation in permanent improvements in agricultural productivity, we exploit the introduction of potatoes from the Americas to the Old World after the Columbian Exchange. We find that the introduction of potatoes permanently reduced conflict for roughly two centuries. The results are driven by a reduction in civil conflicts.
    JEL: D74 O13 Q34
    Date: 2017–11
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:24066&r=evo
  4. By: Ho, Hoang-Anh (Department of Economics, School of Business, Economics and Law, Göteborg University); Martinsson, Peter (Department of Economics, School of Business, Economics and Law, Göteborg University); Olsson, Ola (Department of Economics, School of Business, Economics and Law, Göteborg University)
    Abstract: Cultural norms diverge substantially across societies, often even within the same country. In the present paper, we study the voluntary settlement hypothesis, proposing that individualistic people tend to self-select into migrating out of reach from collectivist states towards the periphery and that such patterns of historical migration are reflected even in the contemporary distribution of norms. During most of the first millennium CE, the modern north of Vietnam was under an exogenously imposed Chinese rule. From the eleventh to the eighteenth centuries, historical Vietnam gradually expanded its territory to the Mekong River Delta through various waves of conquest and migration. In contrast to some recent research, we find very little support from historical sources for any major discontinuities in this territorial expansion. Combining archives with household survey and lab-in-the-field experiment, we demon- strate that areas being annexed earlier into historical Vietnam are nowadays more (less) prone to collectivist (individualist) culture. We argue that the southward out-migration of individualistic people was the main mechanism behind this finding, which is also in line with many historical accounts.
    Keywords: Culture; Individualism-Collectivism; Voluntary Settlement
    JEL: N45 O53 Z13
    Date: 2017–12
    URL: http://d.repec.org/n?u=RePEc:hhs:gunwpe:0714&r=evo
  5. By: Harin, Alexander
    Abstract: Distributions of random variables defined on finite intervals were considered in connection with some problems of behavioral economics. To develop the results obtained for finite intervals, auto-image distributions of random variables defined on infinite or semi-infinite intervals are proposed in this article. The proposed auto-images are intended for constructing reference auto-image distributions for preliminary considerations and estimates near the boundaries of semi-infinite intervals and on finite intervals.
    Keywords: random variables, expectation; utility; prospect theory; decision;
    JEL: C02 C10 C18 D8 D81
    Date: 2017–11–29
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:83025&r=evo
  6. By: Michalopoulos, Stelios (Federal Reserve Bank of Minneapolis); Papaioannou, Elias (London Business School)
    Abstract: Over the last two decades, the literature on comparative development has moved from country-level to within-country analyses. The questions asked have expanded, as economists have used satellite images of light density at night and other big spatial data to proxy for development at the desired level. The focus has also shifted from uncovering correlations to identifying causal relations, using elaborate econometric techniques including spatial regression discontinuity designs. In this survey we show how the combination of geographic information systems with insights from disciplines ranging from the earth sciences to linguistics and history has transformed the research landscape on the roots of the spatial patterns of development. We discuss the limitations of the luminosity data and associated econometric techniques and conclude by offering some thoughts on future research.
    Keywords: Development; Language; Ethnicity; History; Borders; Luminosity; Regression discontinuity; Regions
    JEL: N00 N9 O10 O43 O55
    Date: 2017–12–11
    URL: http://d.repec.org/n?u=RePEc:fip:fedmoi:0004&r=evo

This nep-evo issue is ©2017 by Matthew Baker. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at http://nep.repec.org. For comments please write to the director of NEP, Marco Novarese at <director@nep.repec.org>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.