Pushing Wheat: Why Supply Mattered for the American Grain Invasion of Britain in the Nineteenth Century

TY - UNPB

T1 - Pushing Wheat

T2 - Why Supply Mattered for the American Grain Invasion of Britain in the Nineteenth Century

AU - Sharp, Paul Richard

N1 - JEL Classifications: C5, F1, N7

PY - 2008

Y1 - 2008

N2 - This paper documents the evolution of variables central to understanding the creation of an Atlantic Economy in wheat between the US and the UK in the nineteenth century. The cointegrated VAR model is then applied to the period 1838-1913 in order to find long-run relationships between these variables. The main result is that explanations for the expansion of trade based on falling barriers to trade need to be augmented by another factor: the expansion of US supply. This implies that the growth of the Atlantic Economy cannot wholly be attributed to the decline in transportation costs, as is usually considered to be the case

AB - This paper documents the evolution of variables central to understanding the creation of an Atlantic Economy in wheat between the US and the UK in the nineteenth century. The cointegrated VAR model is then applied to the period 1838-1913 in order to find long-run relationships between these variables. The main result is that explanations for the expansion of trade based on falling barriers to trade need to be augmented by another factor: the expansion of US supply. This implies that the growth of the Atlantic Economy cannot wholly be attributed to the decline in transportation costs, as is usually considered to be the case

KW - Faculty of Social Sciences

KW - grain invasion

KW - globalization

M3 - Working paper

BT - Pushing Wheat

PB - Department of Economics, University of Copenhagen

ER -