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Contribution Details

Type Working Paper
Scope Discipline-based scholarship
Title Fighting for growth: labor scarcity and technological progress during the British Industrial Revolution
Organization Unit
Authors
  • Hans-Joachim Voth
  • Bruno Caprettini
  • Alex Trew
Language
  • English
Institution Centre for Economic Policy Research
Series Name CEPR Discussion Papers
Number 17881
ISSN 0265-8003
Number of Pages 68
Date 2023
Abstract Text We collect new data and present new evidence on the effects of labor scarcity on the adoption of labor-saving technology in industrializing England. Where the British armed forces recruited heavily, more machines that economized on labor were adopted. For purposes of identification, we focus on naval recruitment. Using warships’ ease of access to coastal locations as an instrument, we show that exogenous shocks to labor scarcity led to technology adoption. The same shocks are only weakly associated with the adoption of non-labor saving technologies. Importantly, there is also a synergy between skill abundance and labor scarcity boosting technology adoption. Where labor shortages led to the adoption of labor-saving machines, technology afterwards improved more rapidly.
Official URL https://cepr.org/publications/dp17881
Other Identification Number merlin-id:24389
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Keywords Technology adoption, industrial revolution