Explaining nineteenth-century bilateralism: economic and political determinants of the Cobden-Chevalier network

This study investigates the empirical determinants of the treaty network of the 1860s and 1870s. It makes use of three central theories about the determinants of PTA formation, considering economic fundamentals from neoclassical and ‘new’ trade theory, political-economy variables, and international interaction due to trade diversion fears (dependence of later PTAs on former). These possible determinants are operationalized using a newly constructed dataset for bilateral cooperation and non-cooperation among 13 European Countries and the US. The results of logistic regression analysis show that the treaty network can be explained by a combination of ‘pure’ welfare-oriented economic theory with political economy and international interaction models.Preferential trade agreements, Anglo-French treaty of Commerce, Bilateralism, Political economy, Qualitative choice models

Explaining Nineteenth-Century Bilateralism: Economic and Political Determinants of the Cobden-Chevalier Network

This study investigates the empirical determinants of the treaty network of the 1860s and 1870s. It makes use of three central theories about the determinants of PTA formation, considering economic fundamentals from neoclassical and ‘new’ trade theory, political-economy variables, and international interaction due to trade diversion fears (dependence of later PTAs on former). These possible determinants are operationalized using a newly constructed dataset for bilateral cooperation and non-cooperation among 13 European Countries and the US. The results of logistic regression analysis show that the treaty network can be explained by a combination of ‘pure’ welfare-oriented economic theory with political economy and international interaction models.Cobden-Chevalier Network, Bilateralism

Something Rational in the State of Denmark? The Case of an Outsider in the Cobden-Chevalier Network 1860-1875

We examine the case of an important outsider to the Cobden-Chevalier network of bilateral treaties in the second half of the nineteenth century. We attempt to explain this through a study of the structure of Danish trade and protection. We demonstrate, in contrast to previous accounts that have considered Danish trade policy somewhat irrational, that Denmark was right to remain outside. She had little to gain from concluding treaties, since her main trading partners offered free trade for her exports, agricultural goods, and she needed her own tariffs for revenue purposes.bilateral treaties; Cobden-Chevalier network; Denmark

Explaining nineteenth-century bilateralism: economic and political determinants of the Cobden-Chevalier network

This study investigates the empirical determinants of the treaty network of the 1860s and 1870s. It makes use of three central theories about the determinants of PTA formation, considering economic fundamentals from neoclassical and ‘new’ trade theory, political-economy variables, and international interaction due to trade diversion fears (dependence of later PTAs on former). These possible determinants are operationalized using a newly constructed dataset for bilateral cooperation and non-cooperation among 13 European Countries and the US. The results of logistic regression analysis show that the treaty network can be explained by a combination of ‘pure’ welfare-oriented economic theory with political economy and international interaction models

The role of technology and institutions for growth: Danish creameries in the late nineteenth century

We consider the relative contributions of changing technology and institutions for economic growth through the investigation of a natural experiment in history: the almost simultaneous introduction of the automatic cream separator and the cooperative ownership form in the Danish dairy industry from around 1880. Using a new database of statistics from creameries and the tool of stochastic frontier analysis, we find that both institutions and technology were important for the success of the Danish dairy industry and, by implication, the growth and early development of the Danish economy.Creameries, dairies, Denmark, development, economic growth, institutions, technology, stochastic frontier analysis

The Role of Technology and Institutions for Growth: Danish Creameries in the late Nineteenth Century

We consider the relative contributions of changing technology and institutions for economic growth through the investigation of a natural experiment in history: the almost simultaneous introduction of the automatic cream separator and the cooperative ownership form in the Danish dairy industry from around 1880. Using a new database of statistics from creameries and the tool of stochastic frontier analysis, we find that both institutions and technology were important for the success of the Danish dairy industry and, by implication, the growth and early development of the Danish economy.creameries; dairies; Denmark; development; economic growth; institutions; technology; stochastic frontier analysis

The Strange Birth of Liberal Denmark: Danish trade protection and the growth of the dairy industry since the mid-nineteenth century

The usual story of the “first era of globalization” at the end of the nineteenth century sees Denmark as something as an outlier: a country which, like Britain, resisted the globalization backlash in the wake of the inflow of cheap grain from the New World, but where agriculture, rather than going into decline, in fact flourished. Key to the success of Danish agriculture was an early diversification towards dairy production. We dispute this simple story which sees Denmark as something of a liberal paragon. Denmark’s success owed much to a prudent use of trade policy which favoured dairy production. Moreover, this favouritism continued even after a more general movement to free trade in the 1860s. Using micro-level data from individual dairies, we quantify the implied subsidy to dairy production from the tariffs, and demonstrate that this in many cases ensured the profitability of individual dairies.dairies; Denmark; protection; tariffs; cheese

The role of technology and institutions for growth : Danish creameries in the late nineteenth century.

We consider the relative contributions of changing technology and institutions for economic growth through the investigation of a natural experiment in history: the almost simultaneous introduction of the automatic cream separator and the cooperative ownership form in the Danish dairy industry from around 1880. Using a new database of statistics from creameries and the tool of stochastic frontier analysis, we find that both institutions and technology were important for the success of the Danish dairy industry and, by implication, the growth and early development of the Danish economy.Creameries; Dairies; Denmark; Development; Economic growth; Institutions; Technology; Stochastic frontier analysis;

How much trade liberalization was there in the world before and after Cobden-Chevalier?

The Cobden-Chevalier Treaty of 1860 is regarded as central turning point in nineteenth-century trade policy, inaugurating a free trade era in Western Europe. We reexamine this story and put it into global perspective with a new database covering more than 7,500 data points for 11categories of manufactures in 41 countries and colonies around the world between 1846 and 1880. It reveals that bilateralism after 1860 reinforced a process already underway before. Nevertheless, we highlight is that trade liberalization was a global phenomenon over most of our period, so that the prominent British case appears as typical rather than exceptional.International trade, World commercial policy, World tariff history, Protectionism, Liberalization, Cobden-Chevalier

How the Danes discovered Britain : the international integration of the Danish dairy industry before 1880

The success of Danish agricultural exports at the end of the nineteenth century is often attributed to the establishment of a direct trade with Britain. Previously, exports went mostly via Hamburg, but this changed with the loss of Schleswig and Holstein to Prussia in the war of 1864. After this, quantity and price data imply narrowing price gaps and thus imply gains for Danish producers. Why then did Denmark not discover the British market earlier? We show that butter markets in both countries were integrated in the eighteenth century, but through the Hamburg hub. We then demonstrate that there were sound economic reasons for this well into the nineteenth century. However, movements to establish a direct trade were afoot from the 1850s. Thus, although the war certainly gave an extra boost to the processMarkus Lampe thanks research project ECO2011-25713, funded by the Spanish Ministry of Economy and competitiveness