What does migration have to do with company size in an economy?
One of the most clear findings in American economic history is that urbanization coincided with and contributed to the growth and proliferation of big corporations. Urbanization is a form of what demographers call internal migration. It’s migration inside of a country. External migration is migration across a national border. Migration, like any other lessening of […]
Are economic exchanges actually costless?
Economic theory traditionally assumes that economic exchanges–buying and selling–are costless activities. Research into the economic history of transaction costs between 1870 and 1970 in the United States, however, shows that transaction costs are actually a significant part of economic activity. Furthermore, transaction costs have been a steadily growing part of the American economy.
