The Deep Roots of Economic Development in the U.S. States

30 Pages Posted: 12 Aug 2016

See all articles by Ryan Murphy

Ryan Murphy

Southern Methodist University (SMU)

Alex Nowrasteh

Cato Institute - Center for Global Liberty and Prosperity

Multiple version iconThere are 2 versions of this paper

Date Written: August 12, 2016

Abstract

The “Deep Roots” literature investigates the effects of deep cultural variables on outcomes. We attempt to identify how these deep cultural variables actually affect per capita output by expanding Putterman and Weil’s (2010) inquiry on the effects of State History and Agricultural History to the populations of the fifty U.S. States. In the course of this application, we uncover two distinct points while giving a qualified validation of Putterman and Weil. First, the effects of deep roots on outcomes are only clearly apparent after controlling for the percent of the population that is non-Hispanic white because that population is negatively correlated with per capita income after controlling for State History or Agricultural History. Second, while we find some support of the conclusion that deep roots impact outcomes by altering institutions, deep roots do not have any impact on liberal economic institutions at the state level.

Keywords: Deep Roots, State History, Agricultural History, Institutions, Economics of Migration

JEL Classification: O15, O43, Z13

Suggested Citation

Murphy, Ryan and Nowrasteh, Alex, The Deep Roots of Economic Development in the U.S. States (August 12, 2016). Available at SSRN: https://ssrn.com/abstract=2822137 or http://dx.doi.org/10.2139/ssrn.2822137

Ryan Murphy (Contact Author)

Southern Methodist University (SMU) ( email )

6212 Bishop Blvd.
Dallas, TX 75275
United States

Alex Nowrasteh

Cato Institute - Center for Global Liberty and Prosperity ( email )

1000 Massachusetts Avenue, N.W.
Washington, DC 20001-5403
United States

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