Bairoch Revisited: Tariff Structure And Growth In The Late Nineteenth Century
This paper revisits Bairoch's hypothesis that in the late nineteenth century tariffs were positively associated with growth, as recently confirmed by a new generation of quantitative studies. This paper highlights the importance of the structure of protection in the relation between trade policy and its potential growth-promoting impact. Evidence is based on a new database on industrial tariffs for the 1870s. The results show that income, factor endowment and policy independence are important for explaining regional asymmetries between tariffs and growth.