Land Abundance, Interest-Profit Rates and Nineteenth Century American and British Technology
Economic History Association / Cambridge University Press
Virtually all sectors of the nineteenth-century American economy were less capital-intensive than their British counterparts. This resulted from persistently higher American interest/profit rates, due in turn to American land abundance. The paper adduces the evidence in support of these propositions, and explores their interrelationships through the use of a linear model inspired by the writings of David Ricardo.
Field, Alexander J. 1983. "Land Abundance, Interest-Profit Rates and Nineteenth Century American and British Technology," Journal of Economic History 43 (June): 405-31.