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Lecture 8 Notes

The estimates are similar if one also allows for a

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Unformatted text preview: stricted sample” excludes island and North African countries. The “geography controls” are distance from equator, longitude, lowest monthly rainfall, avg max humidity, avg min temperature, and ln(coastline/area). The first-stage estimates are reported in the bottom panel of the table. The coefficients for the instruments are generally negative, suggesting that the further a country was from slave markets, the fewer slaves it exported.16 The exception is the distance 16. The specifications assume a linear first-stage relationship. The estimates are similar if one also allows for a nonlinear relationship between slave exports Possible Channels of Causality Channels through which slave trade may affect current economic development: (1) Slave trades weaken ties between villages discourage formation of larger communities and broader ethnic identities Evidence shows that ethnic fractionalization reduces provision of public goods (education, health facilities, access to water, transportation, infrastructure) important for economic development 164 QUARTERLY JOURNAL OF ECONOMICS FIGURE VI Relationship between Slave Expor...
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