Harvests and Business Cycles in Nineteenth-Century America

75 Pages Posted: 31 Jan 2009 Last revised: 19 Aug 2010

See all articles by Joseph H. Davis

Joseph H. Davis

The Vanguard Group

Christopher Hanes

State University of New York (SUNY) - Binghamton University - Department of Economics

Paul W. Rhode

University of Michigan at Ann Arbor; National Bureau of Economic Research (NBER)

Date Written: January 2009

Abstract

Most major American industrial business cycles from around 1880 to the First World War were caused by fluctuations in the size of the cotton harvest due to economically exogenous factors such as weather. Wheat and corn harvests did not affect industrial production; nor did the cotton harvest before the late 1870s. The unique effect of the cotton harvest in this period can be explained as an essentially monetary phenomenon, the result of interactions between harvests, international gold flows and high-powered money demand under America's gold-standard regime of 1879-1914.

Suggested Citation

Davis, Joseph H. and Hanes, Christopher and Rhode, Paul W., Harvests and Business Cycles in Nineteenth-Century America (January 2009). NBER Working Paper No. w14686, Available at SSRN: https://ssrn.com/abstract=1335711

Joseph H. Davis (Contact Author)

The Vanguard Group ( email )

100 Vanguard Blvd
Malvern, PA 19355
United States

Christopher Hanes

State University of New York (SUNY) - Binghamton University - Department of Economics ( email )

Binghamton, NY 13902-6000
United States

Paul W. Rhode

University of Michigan at Ann Arbor ( email )

500 S. State Street
Ann Arbor, MI 48109
United States

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
26
Abstract Views
594
PlumX Metrics