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Local multipliers and the growth of services: evidence from late nineteenth century USA, Great Britain, and Sweden

Ostermeyer, Vinzent LU (2023) In European Review of Economic History 27(1). p.70-90
Abstract
In the shadow of industry, the service sector substantially expanded during the late nineteenth century. This paper analyzes how the creation of industrial employment contributed to this growth of services. I leverage full-count census data from the United States, Great Britain, and Sweden to estimate local employment multipliers. I show that industrial growth was a key driver in the emergence of services. Each new industrial job created up to one additional local service job. This effect was driven by the high-skilled industrial sector where each additional job created up to two service jobs. Multiplier effects created jobs across different services.
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author
organization
publishing date
type
Contribution to journal
publication status
published
subject
in
European Review of Economic History
volume
27
issue
1
pages
70 - 90
publisher
Oxford University Press
external identifiers
  • scopus:85191941150
ISSN
1474-0044
DOI
10.1093/ereh/heac004
language
English
LU publication?
yes
id
9cbdaa76-b506-48d9-bba6-5756c40eb810
date added to LUP
2022-04-28 17:37:04
date last changed
2024-05-16 12:09:53
@article{9cbdaa76-b506-48d9-bba6-5756c40eb810,
  abstract     = {{In the shadow of industry, the service sector substantially expanded during the late nineteenth century. This paper analyzes how the creation of industrial employment contributed to this growth of services. I leverage full-count census data from the United States, Great Britain, and Sweden to estimate local employment multipliers. I show that industrial growth was a key driver in the emergence of services. Each new industrial job created up to one additional local service job. This effect was driven by the high-skilled industrial sector where each additional job created up to two service jobs. Multiplier effects created jobs across different services.}},
  author       = {{Ostermeyer, Vinzent}},
  issn         = {{1474-0044}},
  language     = {{eng}},
  number       = {{1}},
  pages        = {{70--90}},
  publisher    = {{Oxford University Press}},
  series       = {{European Review of Economic History}},
  title        = {{Local multipliers and the growth of services: evidence from late nineteenth century USA, Great Britain, and Sweden}},
  url          = {{http://dx.doi.org/10.1093/ereh/heac004}},
  doi          = {{10.1093/ereh/heac004}},
  volume       = {{27}},
  year         = {{2023}},
}