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The Sources of Regional Variation in the Severity of the Great Depression: Evidence from U.S. Manufacturing, 1919–1937

Published online by Cambridge University Press:  03 March 2009

Joshua L. Rosenbloom  and
William A. Sundstrom
Joshua L. Rosenbloom
Affiliation:
Associate Professor, Department of Economics, University of Kansas, Lawrence, KS 66045, and Research Associate at the National Bureau of Economic Research.
William A. Sundstrom
Affiliation:
Associate Professor, Department of Economics, Santa Clara University, Santa Clara, CA 95053.
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Abstract

The impact of the Great Depression was milder in the South Atlantic states, more severe in the Mountain states, and surprisingly uniform across other regions of the countly—despite large differences in industrial structere. Employing data on 20 manufacturing industries disaggregated by state, we analyze the relative contributions of industry mix and location to regional variations in economic performance. Industrial composition had a significant impact on employment growth, with regions that concentrated on durable goods or inputs to construction faring worse than others. Long-run trends also mattered, and explain much of the South Atlantic's more favorable performance.

Type
Articles
Information
The Journal of Economic History , Volume 59 , Issue 3 , September 1999 , pp. 714 - 747
Copyright
Copyright © The Economic History Association 1999

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