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Who Benefited from Industrialization? The Local Effects of Hydropower Technology Adoption in Norway

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  • Leknes, Stefan
  • Modalsli, Jørgen

Abstract

This paper studies the impact of the construction of hydropower facilities on labor market outcomes in Norway at the turn of the twentieth century (1891–1920). The sudden breakthrough in hydropower technology provides a quasi-experimental setting, as not all municipalities had suitable natural endowments and the possible production sites were often located in remote areas. We find that hydropower municipalities experienced faster structural transformation and displayed higher occupational mobility. We interpret this as evidence that this early twentieth-century technology was skill biased, as workers in the new skilled jobs were recruited from a broad segment of the population.

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  • Leknes, Stefan & Modalsli, Jørgen, 2020. "Who Benefited from Industrialization? The Local Effects of Hydropower Technology Adoption in Norway," The Journal of Economic History, Cambridge University Press, vol. 80(1), pages 207-245, March.
    • Handle: RePEc:cup:jechis:v:80:y:2020:i:1:p:207-245_7
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    Cited by:

    1. Ager, Philipp & Goñi, Marc & Salvanes, Kjell Gunnar, 2023. "Gender-biased technological change: Milking machines and the exodus of women from farming," Discussion Paper Series in Economics 16/2023, Norwegian School of Economics, Department of Economics.
    2. Björn Brey, 2021. "The long-run gains from the early adoption of electricity," Discussion Papers 2021-05, University of Nottingham, GEP.
    3. Wan, Guanghua & Wang, Chen & Zhang, Xun & Zuo, Congming, 2024. "Income inequality effect of public utility infrastructure: Evidence from rural China," World Development, Elsevier, vol. 179(C).

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