{"title":"Reassessing the great compression among top earners: The overlooked role of taxation and self-employment","authors":"Miguel Artola Blanco, Victor Manuel Gómez-Blanco","doi":"10.1016/j.eeh.2024.101651","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101651","url":null,"abstract":"This paper provides new estimates of wage inequality in the United States from 1918 to 1949, leveraging a novel top-income methodology that integrates both tax records and census data. Our analysis reveals no sustained decline in wage inequality before the Second World War but a marked decrease during the war years. This decline was driven primarily by stagnation among the top 1 % of earners and significant wage growth at the lower end of the income distribution. However, the relative underperformance of the top earners was largely influenced by a major compositional shift triggered by unprecedented increases in corporate and personal income tax rates. These tax changes led to a shift in business preferences toward partnerships, resulting in a substantial transition from salaried employment to self-employment. This shift, previously overlooked in inequality studies, resulted in a 30 % overestimation of wage compression, significantly altering the wage distribution dynamics of the 1940s.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"27 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-12-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142874743","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Long-term trends in income and wealth inequality in southern Italy. The Kingdom of Naples (Apulia), sixteenth to eighteenth centuries","authors":"Guido Alfani, Sergio Sardone","doi":"10.1016/j.eeh.2024.101646","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101646","url":null,"abstract":"This paper uses new archival sources to study the long-term tendencies in economic inequality in preindustrial southern Italy (Kingdom of Naples). The paper reconstructs long-term trends in wealth inequality for the period 1550–1800 for a sample of communities in the region Apulia and produces estimates of overall inequality levels across the region. These estimates are compared with those which have recently been published for other Italian and European regions or states. The article also reconstructs the total income distribution for the mid-eighteenth century, then comparing wealth and income inequality. Overall, the evidence for the Kingdom of Naples suggests a tendency for economic inequality to grow continuously over the early modern period. As this was mostly a period of economic stagnation or decline for the Kingdom, the article provides further insights to the debate on the long-run relationship between economic growth and inequality change.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"82 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-12-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142793277","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The evolution of the value of water power during the Industrial Revolution","authors":"Todd Guilfoos","doi":"10.1016/j.eeh.2024.101645","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101645","url":null,"abstract":"This work measures the historical evolution of the value of water power during the Industrial Revolution in the United States. I use the variation in county level agricultural land prices and the natural endowment of water power to identify the value of water power. This value is decomposed into direct values (power as a prime mover) and indirect values (attracting infrastructure) from 1850 to 1920; prior to 1900 approximately 85%–90% of the total value is derived from the direct effect of water power. Significant devaluation of water-power endowments occur after 1900, with a significant decline in value by 1920.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"29 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-11-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142793219","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Poverty in Germany from the Black Death until the Beginning of Industrialization","authors":"Guido Alfani, Victoria Gierok, Felix Schaff","doi":"10.1016/j.eeh.2024.101630","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101630","url":null,"abstract":"This paper provides macro-level estimates of the prevalence of poverty in preindustrial Germany, from the Black Death to the onset of industrialization in the nineteenth century. Based on a new body of evidence we show that poverty declined after two large-scale catastrophes: the Black Death in the fourteenth century and the Thirty Years’ War in the seventeenth. Poverty increased substantially in the sixteenth century, and stagnated in the eighteenth and early nineteenth centuries. This pattern is broadly in line with a Malthusian model of the preindustrial economy, but also with several other explanations of poverty. Circa 1600, poverty and inequality extraction were at a historical peak – right when social conflict erupted in Germany.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"45 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-11-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142825467","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Protestantism and human capital: Evidence from early 20th century Ireland","authors":"Alan Fernihough, Stuart Henderson","doi":"10.1016/j.eeh.2024.101647","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101647","url":null,"abstract":"Using a large individual-level dataset, we explore the significance of religious affiliation for human capital variation in Ireland at the turn of the twentieth century. We construct a large sample based on the returns of male household heads in the 1901 census and explore variation in literacy across the three principal denominations: Roman Catholicism, Anglicanism and Presbyterianism. Protestantism, particularly Presbyterianism, is associated with higher levels of human capital. This denominational effect is remarkably robust, even when accounting for various control variables and alternative modelling specifications. Supplementary analyses reveal that these literacy disparities existed before the foundation of centralised national schooling in 1831 and were independent of school attendance, as Presbyterians exhibited lower attendance rates than Anglicans. We suggest that denomination mattered because it affected the incentives to accrue literacy ability to fully participate in religious and wider cultural life.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"48 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-11-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142793218","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Agglomeration and creativity in early modern Britain","authors":"Gary W. Cox , Valentin Figueroa","doi":"10.1016/j.eeh.2024.101644","DOIUrl":"10.1016/j.eeh.2024.101644","url":null,"abstract":"<div><div>When did western cities become the engines of creativity modern theorists envision them to be? We approach this issue by investigating how much elite authors benefited from agglomerating in early modern London. Building a new panel dataset documenting the place of residence and annual publications of 2,026 prolific authors over the period 1482–1800, we conduct longitudinal author-level analyses. Our results suggest agglomeration benefits in London’s knowledge economy reached levels comparable to those documented in modern cities by the late 16th century. Exploring mechanisms, we find that moving to London improved opportunities for collaboration and, relatedly, the quality of books produced. We find similar agglomeration economies (and mechanisms) in the towns leading Britain’s industrial revolution in the 18th century (but not before).</div></div>","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"95 ","pages":"Article 101644"},"PeriodicalIF":2.6,"publicationDate":"2024-11-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142746435","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Who collaborates with the Soviets? Financial distress and technology transfer during the Great Depression","authors":"Jerry Jiang, Jacob P. Weber","doi":"10.1016/j.eeh.2024.101637","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101637","url":null,"abstract":"We provide evidence that financial distress induces firms to sell their technology to foreign competitors. To do so, we construct a novel, spatial panel dataset by individually researching and locating U.S. firms who signed Technology Transfer Agreements (TTAs) with the Soviet Union during the 1920s and 1930s in various U.S. counties. By relating the number of TTAs signed in each county to the number of bank failures, we establish a significant, positive relationship between financial distress and the number of firms signing TTAs with the Soviet Union. Our findings suggest that banking panics may create opportunities for foreign countries to acquire affected firms’ technology.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"1 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-11-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142758697","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Monumental effects: Confederate monuments in the Post-Reconstruction South","authors":"Alexander N. Taylor","doi":"10.1016/j.eeh.2024.101635","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101635","url":null,"abstract":"This paper explores the contemporaneous effects of Confederate monuments dedicated in the Post-Reconstruction South. I combine monument, election, and census data to create an election-year panel dataset of former Confederate counties between 1878–1912, then exploit the temporally staggered and geographically distributed dedication of monuments using a generalized difference-in-differences design. I find that monuments caused increases in Democratic Party vote share and decreases in voter turnout, with less robust decreases in Black population share. I find some evidence that more intense monument-building is associated with a decrease in Black lynchings. I also find varying effects based on the era of monument dedication, the intensity of monument-building, and monument characteristics. To address potential mechanisms, I present evidence that monuments were associated with increased use of famous Confederate names for children and show that decreases in voter turnout occurred exclusively in areas with larger Black population shares. Overall, my results suggest monuments promoted a distorted view of Civil War history that primarily persuaded southern whites, but also contributed to Black political suppression. The findings have implications for current debates over Confederate monuments in the United States.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"9 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-10-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142670372","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Incredible commitment: Influence accumulation, consensus-making, and the collapse of the Polish-Lithuanian Commonwealth","authors":"Mikołaj Malinowski","doi":"10.1016/j.eeh.2024.101633","DOIUrl":"https://doi.org/10.1016/j.eeh.2024.101633","url":null,"abstract":"I aim to explain the petrification of the Polish-Lithuanian Commonwealth's parliament due to the veto in the 17th and 18th centuries. I study genealogical data on senatorial ancestors and identify the formation of an oligarchic elite. I propose that the accumulation of influence by powerful individuals undermined their vested interest in the state's continuation. This weakened the elite's ability to credibly commit to political agreements, reach consensus, and sustain the extractive regime. I argue that the overly limited king failed to act as an arbiter in oligarchic disputes. This challenges the conventional view regarding the benefits of limited royal authority.","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"9 1","pages":""},"PeriodicalIF":2.3,"publicationDate":"2024-10-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142793371","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Are some piece rates better than others? Cross-sectional variation in piece rates at a US cotton factory","authors":"Joyce Burnette","doi":"10.1016/j.eeh.2024.101631","DOIUrl":"10.1016/j.eeh.2024.101631","url":null,"abstract":"<div><div>While piece rates were a common form of payment in manufacturing, historians have rarely tried to understand the cross-sectional structure of piece-rate prices. This paper examines piece rates paid to weavers at a US cotton factory and demonstrates that in most cases expected daily earnings were constant across different piece rates. While some rates did result in higher daily earnings, there is no evidence of gender discrimination in the assignment of such rates.</div></div>","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"94 ","pages":"Article 101631"},"PeriodicalIF":2.6,"publicationDate":"2024-10-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142445431","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}