Reconstruction Aid, Public Infrastructure, and Economic Development
Principal Investigator(s): View help for Principal Investigator(s) Michela Giorcelli, UCLA Economics; Nicola Bianchi, Northwestern University
Version: View help for Version V1
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Project Citation:
Giorcelli, Michela, and Bianchi, Nicola. Reconstruction Aid, Public Infrastructure, and Economic Development. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2022-04-15. https://doi.org/10.3886/E167821V1
Project Description
Summary:
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The Marshall Plan (1948–1952) was the largest aid transfer in history. This paper estimates its effects on Italy’s postwar economic development. It exploits differences between Italian provinces in the value of reconstruction grants they received. Provinces that could modernize more their infrastructure experienced higher increases in agricultural production, especially for perishable crops. In the same provinces, we observe larger investments in labor-saving machines, the entry of more firms into the industrial sector, and a larger expansion of the industrial and service workforce.
Scope of Project
Subject Terms:
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international aid;
economic growth;
reconstruction grants;
Marshall Plan
Geographic Coverage:
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Italy
Time Period(s):
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1948 – 2001
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