Culture and market integration: evidence on mechanisms

ACDE Trade & Development Seminars


Sarah Walker, University of New South Wales.


Other, please see description for details


Tuesday, 29 November, 2016 - 14:00 to 15:30

Culture is an important determinant of economic exchange, but what are the mechanisms through which culture operates? This article offers a novel explanation, arguing that beyond the efficiency of information-sharing, cultural networks distort trade when a dominant group holds market power in the production of certain goods. The empirical analysis examines the relationship between culture and market integration in 19th century Austria.

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