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The Effect of Transport Infrastructure on Home Production Activity: Evidence from Rural New York, 1825–1845

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  • Coleman, Andrew

    (Motu Economic and Public Policy Research)

Abstract

This paper examines the home production activities of newly formed and long established households in rural New York over a twenty year period after the Erie Canal was built. It shows that newly established households had lower home production activities than long established households resident in the same area, conditional on the size, age, and land-owning characteristics of the households. Thus some of the decline in aggregate production was due to the arrival of new, differently behaving households, rather than changing behaviour of established households. However, long established households eventually copied their new neighbours, reducing their home production activities to similar levels.

Suggested Citation

  • Coleman, Andrew, 2012. "The Effect of Transport Infrastructure on Home Production Activity: Evidence from Rural New York, 1825–1845," Working Papers 12_01, Motu Economic and Public Policy Research.
    • Handle: RePEc:mtu:wpaper:12_01
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    File URL: https://motu-www.motu.org.nz/wpapers/12_01.pdf
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    References listed on IDEAS

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    1. Morgan Kelly, 1997. "The Dynamics of Smithian Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(3), pages 939-964.
    2. Kelly, M., 1996. "The Dynamics of Smithian growth," Papers 96/9, College Dublin, Department of Political Economy-.
    3. Locay, Luis, 1990. "Economic Development and the Division of Production between Households and Markets," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 965-982, October.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Arthur Grimes & Eyal Apatov & Larissa Lutchman & Anna Robinson, 2014. "Infrastructure’s Long-Lived Impact on Urban Development: Theory and Empirics," Working Papers 14_11, Motu Economic and Public Policy Research.
    2. Arthur Grimes & Eyal Apatov & Larissa Lutchman & Anna Robinson, 2016. "Eighty years of urban development in New Zealand: impacts of economic and natural factors," New Zealand Economic Papers, Taylor & Francis Journals, vol. 50(3), pages 303-322, September.

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    More about this item

    Keywords

    transport infrastructure; home production; Erie Canal; rural development and transformation;
    All these keywords.

    JEL classification:

    • N71 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services - - - U.S.; Canada: Pre-1913
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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