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On the causes of economic growth in Europe: why did agricultural labour productivity not converge between 1950 and 2005?

On the causes of economic growth in Europe: why did agricultural labour productivity not converge... The objective of this study is to make a further contribution to the debate on the causes of economic growth in the European Continent. It explains why agricultural labour productivity differences did not converge between 1950 and 2005 in Europe. We propose an econometric model, one combining both proximate and fundamental causes of economic growth. The results show that the continuous exit of labour power from the sector, coupled with the increased use of productive factors originating in other sectors of the economy, caused the efficiency of agricultural workers to rise. However, we offer a complete explanation of the role played by institutions and geographical factors. Thus, we detect a direct and inverse relation between membership of the EU and the Communist bloc and the productivity of agricultural labour. In addition, strong support for agriculture affected productivity negatively. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Cliometrica Springer Journals

On the causes of economic growth in Europe: why did agricultural labour productivity not converge between 1950 and 2005?

Cliometrica , Volume 9 (3) – Nov 5, 2014

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References (110)

Publisher
Springer Journals
Copyright
Copyright © 2014 by Springer-Verlag Berlin Heidelberg
Subject
Economics / Management Science; Economic Theory; History; Econometrics; Methodology and the History of Economic Thought; Game Theory/Mathematical Methods; Statistics for Business/Economics/Mathematical Finance/Insurance
ISSN
1863-2505
eISSN
1863-2513
DOI
10.1007/s11698-014-0119-5
Publisher site
See Article on Publisher Site

Abstract

The objective of this study is to make a further contribution to the debate on the causes of economic growth in the European Continent. It explains why agricultural labour productivity differences did not converge between 1950 and 2005 in Europe. We propose an econometric model, one combining both proximate and fundamental causes of economic growth. The results show that the continuous exit of labour power from the sector, coupled with the increased use of productive factors originating in other sectors of the economy, caused the efficiency of agricultural workers to rise. However, we offer a complete explanation of the role played by institutions and geographical factors. Thus, we detect a direct and inverse relation between membership of the EU and the Communist bloc and the productivity of agricultural labour. In addition, strong support for agriculture affected productivity negatively.

Journal

CliometricaSpringer Journals

Published: Nov 5, 2014

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