Historical Development

Abstract:

This paper explores how discontinuities created by national borders can influence development across the Americas. We exploit the discontinuous nature of borders jointly with exogenous variation at the national level to identify discontinuous effects on proxies for economic development at the regional and pixel levels. We separate the effects of national institutions from local historical conditions. Our analysis yields three main findings. First, we find important discontinuities in development across national borders for the Americas. Second, we also show that they are, for the most part, caused by institutional differences at the national level and not for differences at the regional level in geography, climate, endowments, and pre-colonization conditions. Third, we also present evidence that differences in national institutions affect human capital at the regional level. 

Abstract:

This paper provides evidence of a persistent effect of the Mining Mita—a colonial forced labor and migration institution that affected indigenous communities in Peru between 1573 and 1811—on various economic and social outcomes that extend beyond material conditions. Using a geographical regression discontinuity design, we provide causal evidence that areas affected by the Mita have experienced higher levels of social unrest since the late 18th century. Furthermore, residents of these Mita areas identify more strongly with indigenous groups and institutions, are more likely to speak native languages, and hold different beliefs about development and democracy. We present evidence that the outcomes are not merely consequences of economic development effects caused by the Mita system. We conjecture that these factors help explain the enduring influence of colonial institutions, such as the Mita system, on contemporary social and economic development.

Abstract:

Can a war against a foreign country reduce ethnic divisions within a nation? This paper investigates the long-term impact of a nineteenth-century foreign invasion on indigenous self-identification in a developing country. I examine two historical cases: i) The Sierra Campaign, the final stage of the Pacific War (1879-1884) between Peru and Chile, where local indigenous communities engaged in guerrilla warfare against a professional invading army, and ii) The five-decade-long Chilean Occupation of Tacna (1880-1929), during which aggressive anti-Peruvian nationalism policies were enforced before the region was returned to Peru. In both instances, contemporary populations in municipalities exposed to these conflicts show reduced Indigenous self-identification and an increased affiliation with a mestizo identity. To address potential endogeneity, I employ various identification strategies that control for geographical, climatic, and pre-conflict socioeconomic characteristics, all supporting the findings' causal nature.