ECON 4130 Study Guide - Final Guide: Industrial Revolution, Greco-Persian Wars, Original Affluent Society

• School: Ohio State University
• Department: Economics
• Course: ECON 4130
• Professor: All

Document Summary

Economics 4130: main themes: guns, germs, & steel, why such divergent courses of economic development around the world, the role of geography. Diamonds theory: the rate of human invention is faster, and cultural loss is slower, in areas occupied by many competing societies with many individuals. Irrigation systems were massive public works projects: ancient china had large extensive growth and the early rise of governments and military, giving rise to military and bureaucratic elite, advancements: paper, money, silk cloth, magnetic compass, iron tools. Examples of changes in technical and institutional arrangements: change to settled agriculture- neolithic transition- technical/institutional, breakdown of manorial system institutional change. Invention of flying shuttle by john kay in 1733. The link between economic growth and economic development: common belief economic growth in much of the world is possible only through institutional and technical change. I = investment: business investment, residential investment. Inventory investment: g = government purchases, federal, state local, xn = net exports (exports imports)