Why is southern Italy poorer than northern Italy?
4 hours ago
- #Historical institutions
- #Italian divergence
- #Social capital
- Northern Italy's historical traditions of self-government and civic participation fostered higher social capital, lower corruption, and greater trust.
- Southern Italy was shaped by hierarchical authority, landlord domination, and weaker collective action, leading to lower trust and more patronage.
- Malaria historically influenced Southern Italy's development by promoting large estates and absentee landlordism, which hindered education and industrialization.
- Medieval self-government in Northern Italy left durable effects on modern social capital, accounting for at least half of the North-South gap.
- The rise of the Sicilian Mafia in the late 19th century, linked to peasant mobilization and weak state capacity, reduced literacy and public goods.
- Recent studies show that breaking Mafia infiltration in local governments can increase employment and economic activity in affected sectors.
- Land concentration, driven by malaria exposure, adversely affected literacy and educational outcomes in Southern Italy from 1871 to 1921.
- Social capital is a proximate cause of the divergence, while malaria, medieval institutions, and organized crime are among the ultimate causes.
- The literature provides a coherent understanding of Italy's North-South developmental gap, combining proximate and ultimate factors.