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Project Citation: 

Giorcelli, Michela, and Bianchi, Nicola. Reconstruction Aid, Public Infrastructure, and Economic Development. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2022-04-15. https://doi.org/10.3886/E167821V1

Project Description

Summary:  View help for Summary
The Marshall Plan (1948–1952) was the largest aid transfer in history. This paper estimates its effects on Italy’s postwar economic development. It exploits differences between Italian provinces in the value of reconstruction grants they received. Provinces that could modernize more their infrastructure experienced higher increases in agricultural production, especially for perishable crops. In the same provinces, we observe larger investments in labor-saving machines, the entry of more firms into the industrial sector, and a larger expansion of the industrial and service workforce.

Scope of Project

Subject Terms:  View help for Subject Terms international aid; economic growth; reconstruction grants; Marshall Plan
Geographic Coverage:  View help for Geographic Coverage Italy
Time Period(s):  View help for Time Period(s) 1948 – 2001


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