Monarchy, monopoly and mercantilism: Brazil versus the United States in the 1800s

Fernando C. Zanella, Robert B. Ekelund, David N. Laband

Research output: Contribution to journalReview articlepeer-review

6 Citations (Scopus)

Abstract

GDP was $738 per capita in Brazil and $807 in the United States in 1800, but was $4,854 in the latter in 1900 and actually fell from $738 in Brazil by 1913. Relative factor endowments and institutions, broadly considered, are twin traditional explanations for the extremely diverse growth rates. In this paper we offer a complementary analysis of specific political and economic structures to help explain the success and persistence of monopoly restrictions in Brazil and the failure of internal mercantilism in the U.S. We conclude that Brazilian institutions provided a ripe and efficient environment for rent seeking. Such conditions did not exist in the U.S., a fact that helped produce the vast difference in growth in the 1800s.

Original languageEnglish
Pages (from-to)381-398
Number of pages18
JournalPublic Choice
Volume116
Issue number3-4
DOIs
Publication statusPublished - Sep 2003
Externally publishedYes

ASJC Scopus subject areas

  • Sociology and Political Science
  • Economics and Econometrics

Fingerprint

Dive into the research topics of 'Monarchy, monopoly and mercantilism: Brazil versus the United States in the 1800s'. Together they form a unique fingerprint.

Cite this