Published online by Cambridge University Press: 27 August 2015
The locomotive industry was one of the relatively sophisticated “high tech” sectors in which Italy, a late industrializer, was successful before 1913. Using technical data on the performance of different vintages of locomotives, we construct a new industry-level index of technical change. We also study the impact of different policy instruments (import duties, non-tariff trade barriers, and other discretionary interventions) in shaping the development of the industry. Our reassessment reveals not only the sound technological performance of Italian locomotives and successful industry growth, but also the critical role played by non-tariff barriers for the development of the industry.
We would like to thank Alberto Dalmazzo, Giovanni Federico, Stefano Fenoaltea, Alfredo Gigliobianco, Piero Muscolino, Tommaso Proietti, Gianni Toniolo, and Michelangelo Vasta for helpful discussions and suggestions. This article has also benefited from the comments of two anonymous referees, and of the participants at the economic history seminars at the Bank of Italy, and at the University of Siena.