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Introduction to Modern Economic Growth The evidence reported here, which exploits differences in colonial experience to create an instrumental-variables strategy, is based on Acemoglu, Johnson and Robinson (2001, 2002) The urbanization and population density data used here are from Acemoglu, Johnson and Robinson (2002), which compiled these based on work by Bairoch (1988), Bairoch, Batou and Ch`evre (1988), Chandler (1987), Eggimann (1999), McEvedy and Jones (1978) Further details and econometric results are presented in Acemoglu, Johnson and Robinson (2002) The data on mortality rates of potential settlers is from Acemoglu, Johnson and Robinson (2001), who compiled the data based on work by Curtin (1989, 1998) and Gutierrez (1986) That paper also provides a large number of robustness checks, documenting the influence of economic institutions on economic growth and showing that other factors, including religion and geography, have little effect on long-run economic development once the effect of institutions is controlled for The details of the Korean experiment and historical references are provided in Acemoglu (2003) and Acemoglu, Johnson and Robinson (2006) The discussion of distinguishing the effects of different types of institutions draws on Acemoglu and Johnson (2005) The discussion of the effect of disease on development is based on Weil (2006) and especially on Acemoglu and Johnson (2006), which used the econometric strategy described in the text Figures 4.15 and 4.16 are from Acemoglu and Johnson (2006) In these figures, initially-poor countries are those that are poorer than Spain in 1940, and include China, Bangladesh, India, Pakistan, Myanmar, Thailand, El Salvador, Honduras, Indonesia, Brazil, Sri Lanka, Malaysia, Nicaragua, Korea, Ecuador, and the Philippines, while initially-rich countries are those that are richer than Argentina in 1940 and include Belgium, Netherlands, Sweden, Denmark, Canada, Germany, Australia, New Zealand, Switzerland, the United Kingdom and the United States Young (2004) investigates the effect of the HIV epidemic in South Africa and reaches a conclusion similar to that reported here, though his analysis relies on a calibration of the neoclassical growth model rather than econometric estimation 4.10 Exercises Exercise 4.1 Derive equations (4.3) and (4.4) 211