Colonial origins of comparative development
Encyclopedia
"The colonial origins of comparative development" is a famous academic article written by Daron Acemoglu
, Simon Johnson and James A. Robinson and published in American Economic Review
in 2001. It is considered a seminal contribution to development economics
through its use of European settler mortality as an instrumental variable
of institution
al development in former colonies
. The theory proposed in the article is that Europeans only set up growth-inducing institutions in areas where the disease environment was favourable, so that they could settle. In areas with unfavourable disease environment to Europeans, such as central Africa, they instead set up extractive institutions which persist to the present day and explain much of the variation in income across countries, it is claimed.
Daron Acemoglu
Kamer Daron Acemoğlu is a Turkish-American economist of Armenian origin. He is currently the Elizabeth and James Killian Professor of Economics at Massachusetts Institute of Technology and winner of the 2005 John Bates Clark Medal. He is among the in the world according to IDEAS/RePEc...
, Simon Johnson and James A. Robinson and published in American Economic Review
American Economic Review
The American Economic Review is a peer-reviewed academic journal of economics publishing seven issues annually by the American Economic Association. First published in 1911, it is considered one of the most prestigious journals in the field. The current editor-in-chief is Penny Goldberg . The...
in 2001. It is considered a seminal contribution to development economics
Development economics
Development Economics is a branch of economics which deals with economic aspects of the development process in low-income countries. Its focus is not only on methods of promoting economic growth and structural change but also on improving the potential for the mass of the population, for example,...
through its use of European settler mortality as an instrumental variable
Instrumental variable
In statistics, econometrics, epidemiology and related disciplines, the method of instrumental variables is used to estimate causal relationships when controlled experiments are not feasible....
of institution
Institution
An institution is any structure or mechanism of social order and cooperation governing the behavior of a set of individuals within a given human community...
al development in former colonies
Colonialism
Colonialism is the establishment, maintenance, acquisition and expansion of colonies in one territory by people from another territory. It is a process whereby the metropole claims sovereignty over the colony and the social structure, government, and economics of the colony are changed by...
. The theory proposed in the article is that Europeans only set up growth-inducing institutions in areas where the disease environment was favourable, so that they could settle. In areas with unfavourable disease environment to Europeans, such as central Africa, they instead set up extractive institutions which persist to the present day and explain much of the variation in income across countries, it is claimed.