Professor Noam Yuchtman

The conventional wisdom on sources of economic growth emphasises ‘inclusive institutions’: constraints on state elites, which allow open access to political and economic power. Yet, in many contexts where we have seen economic growth emerge, we see economic partnerships between powerful, coercive (often non-democratic) states and private enterprises: from Industrial Revolution Britain to the post-Second World War economic tigers to post-Mao China. These partnerships have involved military efforts to secure resources; the application of state power to open or protect markets; and, state coercion to ensure a steady supply of cheap labor at home and abroad. This project will entail a comprehensive economic analysis of partnerships between coercive states and private actors. Professor Noam Yuchtman will develop a model in which state coercion complements entrepreneurial ability and capital, making the partnership productive. The project will provide empirical evidence (quantitative and qualitative) from a range of settings, highlighting the role of state-private partnerships in driving growth.