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Quarterly Journal of Economics Vol. 124 No. 2 2009

The Diffusion of Development*

Enrico Spolaore1,2; Romain Wacziarg2,3

1 Tufts University · 2 National Bureau of Economic Research · 3 University of California, Los Angeles

Abstract

We find that genetic distance, a measure associated with the time elapsed since two populations' last common ancestors, has a statistically and economically significant effect on income differences across countries, even controlling for measures of geographical distance, climatic differences, transportation costs, and measures of historical, religious, and linguistic distance. We provide an economic interpretation of these findings in terms of barriers to the diffusion of development from the world technological frontier, implying that income differences should be a function of relative genetic distance from the frontier. The empirical evidence strongly supports this barriers interpretation.

DOI
10.1162/qjec.2009.124.2.469
Volume
124
Issue
2
Pages
469-529
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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