The literature linking history to economic development has its origins in three

distinct but related strands of research: Acemoglu et al. (2001), La Porta et al.
(1997, 1998), and Engerman & Sokoloff (1997, 2002). All three examine one of
the largest and most important events in the world's history: European
expansion and colonization of the globe, which began in the sixteenth century.

LA PORTA – COLONIZER IDENTITY – BRITISH COMMON LAW AND ROMAN CIVIL

LAW - ASSUMING EXOGNEOUS INFLUENCE OF LAW SYSTEM – BRITISH
COMMON LAW BETTER INSOFAR AS IT LED TO LARGER DEBT AND EQUITY
MARKETS

ACEMOGLU – DISEASE – SETTLERSHIP – LESS DISEASE MORE SETTLERSHIP –

NOT CONFOUNDING AS DISEASE IS NOT A PERSISTING MODERN FACTOR –
MORE SETTLERSHIP MORE INSTITITUIONS – HIGHER PER CAPITA INCOME

ENGERMAN AND SOKOLOFF – LAND ENDOWMENTS FOR GROWING CROPS –

THE SLAVE LABOUR IN THESE ENDOWED REGIONS LED TO INEQUALITY
WHICH THE ELITES THROUGH INSTSITITUOINS TRIED TO PRESERVE –
HWOWVEER ENGERMAN AND SOKOLOFF ARE WRONG AS THIS DOES NOT
SEEM TO LEAD TO LOWER INCOME TODAY BUT THE INEWUALITY WITHIN
NATIONS PERSISTS.

THE RELEVANCE OF HISTORY OT ECNOMICS IS ONLY SEEN IN MULTI-

EQUILIBRIA MODELS OF ECONOMY – IN THIS LIGHT HISTORIC EVENTS MOVE
STATES FROM ONE STEADY STATE TO ANOTHER –

INSTITUTIONS ARE THE MAJOR CHANNEL THAT A LOT OF HISTOICAL

ECONOMIC ANALAYSIS IS PINNED UPON –

THERE IS ALSO A NOTION OF CULTURE WHICH IS THOUGH TO BE DERIVATIVE

OF HSITORY WHICH IN TURN CAN EFFECT THE ECONOMY- I.E. WEBER’S
NOTION OF THE PROTESTANT WORK ETHIC WHICH HELPED MOVE FROM
FEUDAL TO A MODERN-MARKET INDUSTRIAL ECONOMY – SOCIAL NORMS
REFELCTED IN WORK
ANOTHER IS WOODBERRY 2004 WHO SHOWED HISTORIC PRESENCE OF
MISSIONARIES RESULTED IN HIGHER EDUCATION AND LOWER INJUSTICE
WHICH HAS LED TO HIGHER PER CAPITA INCOME TODAY

THOUGH EDUCATION IS ANOTHER RIMPROATNT CHANNEL – IT IS NOT ONE

JUST FOLOWING FROM THE WEST OUTWARD – AGRICULTURAL TECHNOLOGY
LIKE THE INTROUDCTION OF THE CROP POATTO AS A NEW STAPLE
ACCORDING TO ESTIMATES ACCOUNTS FOR ¼ OF OBSERVED POPULARTION
INCREASE SINCE 1700 THE EFFECTS OF WHICH PERSISTED FOR 100 YEARS

DIAMOND MAKES INTEREST CLAIMS ABOU THE VERITCALITY AND

HORIZONATLITY OF AFRICA VERSUS EUROPE AND NUNN MAKES INRERESTING
CLAIMS ABOUT TERRAIN RUGGEDNESS
CAUSAL CHANNELS HAVE BEEN FOUND BUT THE SPECIFIC MECHANISMS ARE
STILL UP FOR DEBATE.