IDEAS home Printed from https://ideas.repec.org/a/eee/ecoedu/v73y2019ics0272775718307817.html
   My bibliography  Save this article

Oil discoveries and education provision in the Postbellum South

Author

Listed:
  • Maurer, Stephan E.

Abstract

This paper studies the effect of oil wealth on the provision of education in the early 20th century United States. Using information on the location and discovery of major oil fields, I find that oil wealth increased local revenue and education spending. However, population increased, and as consequence, schooling quality did not improve across the board. Nominal teacher wages increased, and oil-rich counties were more likely to participate in the Rosenwald school building program for blacks. However, neither student-teacher ratios nor school attendance rates improved in the wake of oil discoveries.

Suggested Citation

  • Maurer, Stephan E., 2019. "Oil discoveries and education provision in the Postbellum South," Economics of Education Review, Elsevier, vol. 73(C).
  • Handle: RePEc:eee:ecoedu:v:73:y:2019:i:c:s0272775718307817
    DOI: 10.1016/j.econedurev.2019.101925
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0272775718307817
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.econedurev.2019.101925?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Francesco Caselli & Massimo Morelli & Dominic Rohner, 2015. "The Geography of Interstate Resource Wars," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 130(1), pages 267-315.
    2. Elizabeth U. Cascio & Ayushi Narayan, 2022. "Who Needs a Fracking Education? The Educational Response to Low-Skill-Biased Technological Change," ILR Review, Cornell University, ILR School, vol. 75(1), pages 56-89, January.
    3. Dan Black & Terra McKinnish & Seth Sanders, 2005. "The Economic Impact Of The Coal Boom And Bust," Economic Journal, Royal Economic Society, vol. 115(503), pages 449-476, April.
    4. Clément de Chaisemartin & Xavier D'Haultfœuille, 2020. "Two-Way Fixed Effects Estimators with Heterogeneous Treatment Effects," American Economic Review, American Economic Association, vol. 110(9), pages 2964-2996, September.
    5. Orley Ashenfelter & William J. Collins & Albert Yoon, 2006. "Evaluating the Role of Brown v. Board of Education in School Equalization, Desegregation, and the Income of African Americans," American Law and Economics Review, American Law and Economics Association, vol. 8(2), pages 213-248.
    6. Mohammad Reza Farzanegan & Marcel Thum, 2017. "Oil Dependency and Quality of Education: New Empirical Evidence," MAGKS Papers on Economics 201745, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    7. Dan A. Black & Terra G. McKinnish & Seth G. Sanders, 2005. "Tight Labor Markets and the Demand for Education: Evidence from the Coal Boom and Bust," ILR Review, Cornell University, ILR School, vol. 59(1), pages 3-16, October.
    8. Daniel Aaronson & Bhashkar Mazumder, 2011. "The Impact of Rosenwald Schools on Black Achievement," Journal of Political Economy, University of Chicago Press, vol. 119(5), pages 821-888.
    9. Farzanegan, Mohammad Reza & Thum, Marcel, 2017. "More oil, less quality of education? New empirical evidence," CEPIE Working Papers 09/17, Technische Universität Dresden, Center of Public and International Economics (CEPIE).
    10. David Card & Alan B. Krueger, 1992. "School Quality and Black-White Relative Earnings: A Direct Assessment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(1), pages 151-200.
    11. Goldin, Claudia D. & Katz, Lawrence F., 1999. "Human Capital and Social Capital: The Rise of Secondary Schooling in America, 1910–1940," Scholarly Articles 29429088, Harvard University Department of Economics.
    12. Stephan E. Maurer & Andrei V. Potlogea, 2021. "Male‐biased Demand Shocks and Women's Labour Force Participation: Evidence from Large Oil Field Discoveries," Economica, London School of Economics and Political Science, vol. 88(349), pages 167-188, January.
    13. Francesco Caselli & Andrea Tesei, 2016. "Resource Windfalls, Political Regimes, and Political Stability," The Review of Economics and Statistics, MIT Press, vol. 98(3), pages 573-590, July.
    14. Collins, William J. & Margo, Robert A., 2006. "Historical Perspectives on Racial Differences in Schooling in the United States," Handbook of the Economics of Education, in: Erik Hanushek & F. Welch (ed.), Handbook of the Economics of Education, edition 1, volume 1, chapter 3, pages 107-154, Elsevier.
    15. Frederick van der Ploeg, 2011. "Natural Resources: Curse or Blessing?," Journal of Economic Literature, American Economic Association, vol. 49(2), pages 366-420, June.
    16. Vicente, Pedro C., 2010. "Does oil corrupt? Evidence from a natural experiment in West Africa," Journal of Development Economics, Elsevier, vol. 92(1), pages 28-38, May.
    17. Nicolas Berman & Mathieu Couttenier & Dominic Rohner & Mathias Thoenig, 2017. "This Mine Is Mine! How Minerals Fuel Conflicts in Africa," American Economic Review, American Economic Association, vol. 107(6), pages 1564-1610, June.
    18. James M. Poterba, 1997. "Demographic structure and the political economy of public education," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 16(1), pages 48-66.
    19. Gylfason, Thorvaldur, 2001. "Natural resources, education, and economic development," European Economic Review, Elsevier, vol. 45(4-6), pages 847-859, May.
    20. Alberto Alesina & Reza Baqir & William Easterly, 1999. "Public Goods and Ethnic Divisions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(4), pages 1243-1284.
    21. Oded Galor & Omer Moav, 2006. "Das Human-Kapital: A Theory of the Demise of the Class Structure," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 73(1), pages 85-117.
    22. Oded Galor & Omer Moav & Dietrich Vollrath, 2009. "Inequality in Landownership, the Emergence of Human-Capital Promoting Institutions, and the Great Divergence," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 76(1), pages 143-179.
    23. Guy Michaels, 2011. "The Long Term Consequences of Resource‐Based Specialisation," Economic Journal, Royal Economic Society, vol. 121(551), pages 31-57, March.
    24. Ross, Michael L., 2008. "Oil, Islam, and Women," American Political Science Review, Cambridge University Press, vol. 102(1), pages 107-123, February.
    25. Maldonado, Stanislao, 2014. "The Non-Monotonic Political Effects of Resource Booms," MPRA Paper 85649, University Library of Munich, Germany, revised 18 Dec 2017.
    26. Celeste K. Carruthers & Marianne H. Wanamaker, 2017. "Separate and Unequal in the Labor Market: Human Capital and the Jim Crow Wage Gap," Journal of Labor Economics, University of Chicago Press, vol. 35(3), pages 655-696.
    27. Daniel Kreisman, 2017. "The Next Needed Thing: The Impact of the Jeanes Fund on Black Schooling in the South, 1900–1930," Journal of Human Resources, University of Wisconsin Press, vol. 52(2), pages 573-620.
    28. Baker, Richard B., 2015. "From the Field to the Classroom: The Boll Weevil's Impact on Education in Rural Georgia," The Journal of Economic History, Cambridge University Press, vol. 75(4), pages 1128-1160, December.
    29. Marianne Bertrand & Esther Duflo & Sendhil Mullainathan, 2004. "How Much Should We Trust Differences-In-Differences Estimates?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 119(1), pages 249-275.
    30. James, Alexander, 2017. "Natural resources and education outcomes in the United States," Resource and Energy Economics, Elsevier, vol. 49(C), pages 150-164.
    31. Kotsadam, Andreas & Tolonen, Anja, 2016. "African Mining, Gender, and Local Employment," World Development, Elsevier, vol. 83(C), pages 325-339.
    32. J. C. Herbert Emery & Ana Ferrer & David Green, 2012. "Long-Term Consequences of Natural Resource Booms for Human Capital Accumulation," ILR Review, Cornell University, ILR School, vol. 65(3), pages 708-734, July.
    33. Robert A. Margo, 1990. "Race and Schooling in the South, 1880-1950: An Economic History," NBER Books, National Bureau of Economic Research, Inc, number marg90-1.
    34. Smith, Brock, 2015. "The resource curse exorcised: Evidence from a panel of countries," Journal of Development Economics, Elsevier, vol. 116(C), pages 57-73.
    35. Khanna, Arpita Asha, 2017. "Revisiting the Oil Curse: Does Ownership Matter?," World Development, Elsevier, vol. 99(C), pages 214-229.
    36. Robert A. Margo, 1991. "Segregated Schools and the Mobility Hypothesis: A Model of Local Government Discrimination," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 106(1), pages 61-73.
    37. Francesco Caselli & Guy Michaels, 2013. "Do Oil Windfalls Improve Living Standards? Evidence from Brazil," American Economic Journal: Applied Economics, American Economic Association, vol. 5(1), pages 208-238, January.
    38. Rickman, Dan S. & Wang, Hongbo & Winters, John V., 2017. "Is shale development drilling holes in the human capital pipeline?," Energy Economics, Elsevier, vol. 62(C), pages 283-290.
    39. Daron Acemoglu & James A. Robinson, 2008. "Distinguished Guest Lecture: The Persistence and Change of Institutions in the Americas," Southern Economic Journal, John Wiley & Sons, vol. 75(2), pages 282-299, October.
    40. Francesco Caselli, 2012. "The Geography of Inter-State Resource Wars," 2012 Meeting Papers 1174, Society for Economic Dynamics.
    41. Paul W. Rhode & Koleman S. Strumpf, 2003. "Assessing the Importance of Tiebout Sorting: Local Heterogeneity from 1850 to 1990," American Economic Review, American Economic Association, vol. 93(5), pages 1648-1677, December.
    42. Hunt Allcott & Daniel Keniston, 2018. "Dutch Disease or Agglomeration? The Local Economic Effects of Natural Resource Booms in Modern America," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 85(2), pages 695-731.
    43. Alberto Alesina & Eliana La Ferrara, 2003. "Ethnic Diversity and Economic Performance," Harvard Institute of Economic Research Working Papers 2028, Harvard - Institute of Economic Research.
    44. Bester, C. Alan & Conley, Timothy G. & Hansen, Christian B., 2011. "Inference with dependent data using cluster covariance estimators," Journal of Econometrics, Elsevier, vol. 165(2), pages 137-151.
    45. Francesco Caselli & Wilbur John Coleman II, 2001. "The U.S. Structural Transformation and Regional Convergence: A Reinterpretation," Journal of Political Economy, University of Chicago Press, vol. 109(3), pages 584-616, June.
    46. Suresh Naidu, 2012. "Suffrage, Schooling, and Sorting in the Post-Bellum U.S. South," NBER Working Papers 18129, National Bureau of Economic Research, Inc.
    47. Olsson, Ola & Valsecchi, Michele, 2015. "Resource Windfalls and Local Government Behaviour: Evidence From a Policy Reform in Indonesia," Working Papers in Economics 635, University of Gothenburg, Department of Economics.
    48. Carruthers, Celeste K. & Wanamaker, Marianne H., 2013. "Closing the gap? The effect of private philanthropy on the provision of African-American schooling in the U.S. south," Journal of Public Economics, Elsevier, vol. 101(C), pages 53-67.
    49. Philipp Ager, 2013. "The Persistence of de Facto Power: Elites and Economic Development in the US South, 1840-1960," Working Papers 0038, European Historical Economics Society (EHES).
    50. John J. Donohue III & James J. Heckman & Petra E. Todd, 2002. "The Schooling of Southern Blacks: The Roles of Legal Activism and Private Philanthropy, 1910–1960," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(1), pages 225-268.
    51. Daron Acemoglu & James A. Robinson, 2006. "De Facto Political Power and Institutional Persistence," American Economic Review, American Economic Association, vol. 96(2), pages 325-330, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nguyen, Minh-Hoang, 2021. "Resource curse - Wikipedia," OSF Preprints 36uyb, Center for Open Science.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Maurer, Stephan E., 2018. "Oil discoveries and education spending in the postbellum south," LSE Research Online Documents on Economics 88677, London School of Economics and Political Science, LSE Library.
    2. Elena Esposito & Scott F. Abramson, 2021. "The European coal curse," Journal of Economic Growth, Springer, vol. 26(1), pages 77-112, March.
    3. Joseph Marchand & Jeremy Weber, 2018. "Local Labor Markets And Natural Resources: A Synthesis Of The Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 32(2), pages 469-490, April.
    4. Nemera Gebeyehu Mamo, 2018. "Essays on natural resources in Africa: local economic development, multi-ethnic coalitions and armed conflict," Economics PhD Theses 0518, Department of Economics, University of Sussex Business School.
    5. Stephan E. Maurer & Andrei V. Potlogea, 2021. "Male‐biased Demand Shocks and Women's Labour Force Participation: Evidence from Large Oil Field Discoveries," Economica, London School of Economics and Political Science, vol. 88(349), pages 167-188, January.
    6. Mosquera, Roberto, 2022. "The long-term effect of resource booms on human capital," Labour Economics, Elsevier, vol. 74(C).
    7. Ralph de Haas & Steven Poelhekke, 2016. "Mining Matters: Natural Resource Extraction and Local Business Constraints," CESifo Working Paper Series 6198, CESifo.
    8. Jung, Yeonha, 2023. "Formation of the legacy of slavery: Evidence from the US South," European Economic Review, Elsevier, vol. 154(C).
    9. Tiago Cavalcanti & Daniel Mata & Frederik Toscani, 2019. "Winning the oil lottery: the impact of natural resource extraction on growth," Journal of Economic Growth, Springer, vol. 24(1), pages 79-115, March.
    10. Ampofo, Akwasi & Cheng, Terence C. & Doko Tchatoka, Firmin, 2022. "Oil extraction and spillover effects into local labour market: Evidence from Ghana," Energy Economics, Elsevier, vol. 106(C).
    11. De Haas, Ralph & Poelhekke, Steven, 2019. "Mining matters: Natural resource extraction and firm-level constraints," Journal of International Economics, Elsevier, vol. 117(C), pages 109-124.
    12. Jung, Yeonha, 2018. "How The Legacy of Slavery Has Survived: A Mechanism through Labor Market Institutions and Human Capital," SocArXiv snpg2, Center for Open Science.
    13. Badeeb, Ramez Abubakr & Lean, Hooi Hooi & Clark, Jeremy, 2017. "The evolution of the natural resource curse thesis: A critical literature survey," Resources Policy, Elsevier, vol. 51(C), pages 123-134.
    14. Bennett, Patrick & Ravetti, Chiara & Wong, Po Yin, 2021. "Losing in a boom: Long-term consequences of a local economic shock for female labour market outcomes," Labour Economics, Elsevier, vol. 73(C).
    15. Bahram Sanginabadi, 2017. "Resource Abundance and Life Expectancy," Papers 1801.00369, arXiv.org.
    16. Katherine Eriksson, 2015. "Access to Schooling and the Black-White Incarceration Gap in the Early 20th Century US South: Evidence from Rosenwald Schools," NBER Working Papers 21727, National Bureau of Economic Research, Inc.
    17. Michieka, Nyakundi M. & Gearhart, Richard S., 2018. "Resource curse? The case of Kern County," Resources Policy, Elsevier, vol. 59(C), pages 446-459.
    18. Kotsadam, Andreas & Tolonen, Anja, 2016. "African Mining, Gender, and Local Employment," World Development, Elsevier, vol. 83(C), pages 325-339.
    19. Maldonado, Stanislao, 2014. "The Non-Monotonic Political Effects of Resource Booms," MPRA Paper 85649, University Library of Munich, Germany, revised 18 Dec 2017.
    20. Casey, Gregory P. & Owen, Ann L., 2014. "Inequality and Fractionalization," World Development, Elsevier, vol. 56(C), pages 32-50.

    More about this item

    Keywords

    Oil; Education; Race; Rosenwald; Local public finances; Resource booms; Teachers;
    All these keywords.

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • H4 - Public Economics - - Publicly Provided Goods
    • N3 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecoedu:v:73:y:2019:i:c:s0272775718307817. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/econedurev .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.