EconPapers    
Economics at your fingertips  
 

Warfare, fiscal capacity, and performance

Mark Dincecco () and Jose Prado ()

Journal of Economic Growth, 2012, vol. 17, issue 3, 171-203

Abstract: We exploit differences in casualties sustained in pre-modern wars to estimate the impact of fiscal capacity on economic performance. In the past, states fought different amounts of external conflicts, of various lengths and magnitudes. To raise the revenues to wage wars, states made fiscal innovations, which persisted and helped to shape current fiscal institutions. Economic historians claim that greater fiscal capacity was the key long-run institutional change brought about by historical conflicts. Using casualties sustained in pre-modern wars to instrument for current fiscal institutions, we estimate substantial impacts of fiscal capacity on GDP per worker. The results are robust to a broad range of specifications, controls, and sub-samples. Copyright Springer Science+Business Media, LLC 2012

Keywords: Pre-modern wars; Fiscal capacity; Public services; Worker productivity; C20; H10; O10; N40 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (48) Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1007/s10887-012-9079-4 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Warfare, Fiscal Capacity, and Performance (2012) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:jecgro:v:17:y:2012:i:3:p:171-203

Ordering information: This journal article can be ordered from
http://www.springer. ... th/journal/10887/PS2

Access Statistics for this article

Journal of Economic Growth is currently edited by Oded Galor

More articles in Journal of Economic Growth from Springer
Bibliographic data for series maintained by Sonal Shukla ().

 
Page updated 2020-01-17
Handle: RePEc:kap:jecgro:v:17:y:2012:i:3:p:171-203