On the Roman origins of entrepreneurship and innovation in Germany

Abstract

We investigate whether the development of regional disparities in entrepreneurship and innovation in Germany can be traced back to Roman rule 2000 years ago. We find a lasting positive Roman effect on the level and quality of entrepreneurship and innovation. This effect might be due to the imprint of local hard factors, such as interregional social and economic exchange, particularly emerging from the integration into the Roman Empire. This effect remains robust when a number of other significant historical developments are taken into account. We hope that these results stimulate a scholarly debate on the probably underestimated importance of ancient roots of economic development.

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