¹ See Conde, Roberto Cortés, La economía política de la Argentina en el siglo XX (Buenos Aires: Edhasa, 2005), pp. 15–48Google Scholar.

² Maddison, Angus, The World Economy, Vol. 2: Historical Statistics (Paris: OECD Development Centre, 2006)CrossRefGoogle Scholar.

³ See Gerchunoff, Pablo and Llach, Lucas, El ciclo de la ilusión y el desencanto: Un siglo de políticas económicas argentinas (Buenos Aires: Ariel, 2005), pp. 470–6Google Scholar; Conde, Roberto Cortés, Progreso y declinación de la economía Argentina (Buenos Aires: FCE, 1998)Google Scholar.

⁴ CFI–ITT, Relevamiento de la estructura regional de la economía argentina, 5 vols. (Buenos Aires: Ediciones CFI, 1962, reprint 1965).

⁵ The city of Buenos Aires became the federal capital (Capital Federal) of the country in 1880.

⁶ These areas were at the time not in fact provinces but ‘national territories’. National Law no. 1532 passed in 1884 created nine Territorios Nacionales (Misiones, Chaco, Formosa in the north-east; Pampa, Neuquén, Río Negro, Chubut, Santa Cruz and Tierra del Fuego in the centre and Patagonia); Los Andes, in the north-west, was created in 1900. Almost all of them became provinces in the first half of the 1950s; the only exception was Los Andes, whose territory was distributed between Jujuy, Salta and Catamarca. Argentine Patagonia, organised into the national territories of Río Negro, Neuquén, Chubut, Santa Cruz and Tierra del Fuego, covered a vast area, encompassing around 28 per cent of the total national territory, according to Argentina, República, Tercer Censo Nacional de la República Argentina, 10 vols. (Buenos Aires: Rosso, 1916–17)Google Scholar, hereafter TCN, Vol. 1, p. 58. See Map A.1 in the on-line appendix (accessed via the ‘Supplementary Materials’ tab).

⁷ Maloney, William and Caicedo, Felipe Valencia, ‘The Persistence of (Subnational) Fortune’, The Economic Journal, 126 (2015), pp. 2363–401CrossRefGoogle Scholar.

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⁹ Gallup, John Luke, Sachs, Jeffrey D. and Mellinger, Andrew D., ‘Geography and Economic Development’, International Regional Science Review, 22 (1999), pp. 179–232CrossRefGoogle Scholar.

¹⁰ Jeffrey D. Sachs, ‘Tropical Underdevelopment’, NBER working paper no. 8119 (2001), accessible at https://www.nber.org/papers/w8119 (last access 1 Aug. 2019).

¹¹ Bulmer-Thomas, Victor, The Economic History of Latin America since Independence (Cambridge: Cambridge University Press, 2014)CrossRefGoogle Scholar.

¹² Krugman, Paul, Geography and Trade, Vol. 1 (Cambridge, MA: MIT Press, 1991)Google Scholar.

¹³ Acemoglu, Daron, Johnson, Simon and Robinson, James A., ‘Reversal of Fortune: Geography and Institutions in the Making of the Modern World Income Distribution’, Quarterly Journal of Economics, 117: 4 (2002), pp. 1231–94CrossRefGoogle Scholar.

¹⁴ Kenneth Sokoloff and Stanley Engerman agree in several respects with the previous argument but they propose that ‘factor endowments’ of a particular region were crucial in defining the initial level of inequality prevailing and the kind of institutions that were adopted in that region. See Sokoloff, Kenneth L. and Engerman, Stanley L., ‘Institutions, Factor Endowments, and Paths of Development in the New World’, Journal of Economic Perspectives, 14 (2000), pp. 217–32CrossRefGoogle Scholar.

¹⁵ Assadourian, Carlos, El sistema de la economía colonial (Lima: IEP, 1982)Google Scholar.

¹⁶ Kossok, Manfred, El virreinato del Río de la Plata (Buenos Aires: Hyspamérica, 1986)Google Scholar.

¹⁷ Palomeque, Silvia, ‘La circulación mercantil en las provincias del interior, 1800–1810’, Anuario IEHS, 4 (1989), pp. 131–210Google Scholar.

¹⁸ Newland, ‘Economic Development and Population Change’.

¹⁹ Míguez, Eduardo, ‘La gran expansión agraria (1880–1914)’, in Academia Nacional de la Historia (ed.), Nueva historia de la nación argentina, Vol. 6: La configuración de la república independiente (1810–c.1914) (Editorial Planeta, 2001), pp. 101–28Google Scholar.

²⁰ See Conti, Viviana, ‘Espacios económicos y economías regionales. El caso del norte argentino y su inserción en el área andina en el siglo XIX’, Revista de Historia, 3 (1992), pp. 27–40Google Scholar, available at http://revele.uncoma.edu.ar/htdoc/revele/index.php/historia/article/view/812 (last access 31 July 2019).

²¹ Gerchunoff and Llach, El ciclo de la ilusión y el desencanto, p. 142.

²² Belini, Claudio, ‘Industrial Exports and Peronist Economic Policies in Post-War Argentina’, Journal of Latin American Studies, 44: 2 (2012), pp. 285–317CrossRefGoogle Scholar.

²³ Maloney and Valencia Caicedo, ‘The Persistence of (Subnational) Fortune’.

²⁴ In this context, the high level of economic activity in the Andean region of Argentina related to the colonial system organised around Potosí seems to be a continuation of the pre-colonial pattern of prosperity. See Assadourian, El sistema de la economía colonial.

²⁵ CEPAL, El desarrollo económico de la Argentina (Santiago de Chile: CEPAL, 1958)Google Scholar; Secretaría de Asuntos Económicos, Producto e ingreso de la República Argentina: En el período 1935–54 (Buenos Aires: G. Kraft, 1955)Google Scholar.

²⁶ Roberto Cortés Conde, ‘Estimaciones del Producto Bruto Interno de Argentina 1875–1935’, Mimeo, Departamento de Economía, Universidad de San Andrés, Buenos Aires, 1994.

²⁷ Paolera, Gerardo della, Taylor, Alan M. and Bózzoli, Carlos G., ‘Historical Statistics’, in Paolera, Gerardo della and Taylor, Alan M. (eds.), A New Economic History of Argentina (Cambridge: Cambridge University Press, 2003), pp. 376–85Google Scholar; Ferreres, Orlando J. and Norte y Sur, Fundación (eds.), Dos siglos de economía argentina: Edición bicentenario 1810–2010: Historia argentina en cifras (Buenos Aires: El Ateneo, 2010)Google Scholar.

²⁸ The methodology is specific to each sector and – in many situations – to different parts of each sector. The description of the methodology and sources for these estimations encompasses 80 pages (CFI–ITT, Relevamiento de la estructura regional, Vol. 2, pp. 247–327).

²⁹ The CFI–ITT's equivalent to Argentine provincial GDP is called the ‘Producto Bruto Geográfico’ (Gross Geographical Product, PBG). The main difference between GDP and PBG is the unit of observation for measuring economic activity. In Argentine official statistics, when economic activity is measured for a sub-national unit, the value added is directly assigned to the productive unit according its geographic location. In this article we will use the English acronym GDP, following Joan Ramón Rosés et al. in respect of Spanish regions: Rosés, Joan Ramón, Martínez-Galarraga, Julio and Tirado, Daniel A., ‘The Upswing of Regional Income Inequality in Spain (1860–1930)’, Explorations in Economic History, 47 (2010), pp. 244–57CrossRefGoogle Scholar.

³⁰ CFI–ITT, Relevamiento de la estructura regional, Vol. 2, p. 250.

³¹ For Mendoza, see Luis A. Coria, ‘El PBG de Mendoza para 1914. Algunos aspectos metodológicos’, XXI Jornadas de Historia Económica – Asociación Argentina de Historia Económica, Universidad Tres de Febrero, Caseros, Buenos Aires, 23–6 Sept. 2008 and, for Salta, Antonelli, Eduardo, Mena, Gastón Carrazán and Romero, Fernando, La economía de Salta. Entre finales del siglo XIX y comienzos del siglo XX (Salta: Enfoques Alternativos, 2011)Google Scholar.

³² Lucas Llach, ‘The Wealth of the Provinces: The Rise and Fall of the Interior in the Political Economy of Argentina, 1880–1910’, Ph.D. dissertation, Harvard University, 2007; Gelman, Jorge (ed.), El mapa de la desigualdad en la Argentina del siglo XIX (Rosario: Prohistoria, 2011)Google Scholar.

³³ Geary, Frank and Stark, Tom, ‘Examining Ireland's Post-Famine Economic Growth Performance’, The Economic Journal, 112: 482 (2002), pp. 919–35CrossRefGoogle Scholar; Geary, Frank and Stark, Tom, ‘Regional GDP in the UK, 1861–1911: New Estimates’, The Economic History Review, 68: 1 (2015), pp. 123–44CrossRefGoogle Scholar.

³⁴ See Rosés, Martínez-Galarraga and Tirado, ‘The Upswing of Regional Income Inequality’; Buyst, Erik, ‘Continuity and Change in Regional Disparities in Belgium during the Twentieth Century’, Journal of Historical Geography, 37: 3 (2011), pp. 329–37CrossRefGoogle Scholar; Felice, Emanuele, ‘Regional Value Added in Italy, 1891–2001, and the Foundation of a Long-Term Picture’, Economic History Review, 64: 3 (2011), pp. 929–50CrossRefGoogle Scholar.

³⁵ From data included in TCN, Vol. 2: Población (Population), we produced the figures for total population and occupational categories. From Vol. 5: Explotaciones agropecuarias (Agro-Pastoral Establishments), we obtained information on land used for agriculture and cattle production. From Vol. 6: Censo ganadero (Livestock Census), we obtained information on livestock and the value of land used for agriculture and cattle production. All the information related to industry and trade and services was obtained from Vol. 7: Censo de las industrias (Industry Census) and Vol. 8: Censo del comercio. Fortuna nacional. Diversas estadísticas (Census of Commerce. National Wealth. Various Statistics). Vols. 9 and 10: Instrucción pública. Bienes del estado (Public Instruction. State Property) and Valores mobiliarios y Estadísticas diversas (Transferable Securities and Miscellaneous Statistics), provided information on public utilities, ports and hospitals, among others.

³⁶ Alejandro Bunge was an economist with a vast working experience in the Labour Department and the Nacional Statistics Office, academic activities in the universities of La Plata and Buenos Aires, and a deep knowledge of the functioning of the Argentine economy. See Bunge, Alejandro E., Riqueza y renta de la Argentina. Su distribución y su capacidad contributiva (Buenos Aires: Agencia General, 1917)Google Scholar.

³⁷ See note 39.

³⁸ In their description of this category, the commentators on the census claimed that it included those individuals ‘… who in each province were without a known occupation, profession or means of livelihood at the time of the census’: TCN, Vol. 1, p. 258. Translations from TCN are by the authors.

³⁹ Departamento Nacional del Trabajo (DNT), Boletín del Departamento Nacional del Trabajo no. 25 (Buenos Aires: DNT, 1913), pp. 1084–93.

⁴⁰ DNT, Anuario Estadístico del Trabajo (Buenos Aires: Talleres Gráficos A. de Martino, 1916), pp. 111–65.

⁴¹ DNT, Boletín (1913), p. 1094.

⁴² The Territorio de Los Andes was located in the west of the provinces of Salta, Catamarca and Jujuy, in the Puna area. This is very arid land and most of its economic activity was based on primary low-productivity activities.

⁴³ DNT, Boletín del Departamento Nacional del Trabajo, no. 3 (Buenos Aires: DNT, 1907), p. 369Google Scholar.

⁴⁴ According to DNT, Boletín (1907), pp. 360–9, which reported on wages in several provinces in 1907.

⁴⁵ The determination of the required skill was based on the definitions of the tasks involved in each plus contemporary descriptions of the kind of jobs, plus (and mainly) common sense. The list of the 436 categories and their assumed respective level of required skill is available from the authors upon request.

⁴⁶ The value added of the government sector was calculated, as is usual, from the sum of the wages of all public servants.

⁴⁷ TCN, Vol. 7.

⁴⁸ Ibid., p. 48.

⁴⁹ If the declared capital was 70 per cent of the actual capital, we need to multiply by 1/(0.7) to arrive at the actual capital. We followed two strategies to check if this multiplier was reasonable. The first was to look for an alternative source to confirm the level of under-registration mentioned by the census officials. Analysis by an expert on historical Argentine GDP (Coria, ‘El PBG de Mendoza para 1914’) suggests that a rough but reasonable approximation of the magnitude of under-registration in the industrial sector is given by the difference between the number of workers declared by the owners of the firms in each economic sector or sub-sector (TCN, Vol. 7) and the number of individuals declared to be working in that particular sector or sub-sector (from the household survey, TCN, Vol. 4, Población). Following these criteria, we confirmed significant levels of under-registration (49 per cent) in the industrial sector. The second strategy was to simulate alternative estimations with different levels of under-registration (from 0 to 49 per cent): these confirmed that none of the qualitative results in this paper was affected.

⁵⁰ This was not building activity per se but the sale of inputs and raw materials for the building process.

⁵¹ If the declared capital was 50 per cent of the actual capital, the multiplier required to arrive at the actual capital is 1/(0.5). To check the multiplier in the services sector we followed a similar strategy to that for industrial capital (see note 49); the level of under-registration that emerged from the differences in number of workers in services was 53 per cent. Again, alternative simulations in which we increased capital in services from 0 to 100 per cent did not change the relative positions of the provinces’ incomes (the results of the simulations are available on request).

⁵² TCN, Vol. 8, p. 133.

⁵³ Railways: Ministerio de Obras Públicas, Estadística de los ferrocarriles en explotación, Vol. 22: Año 1913 (Buenos Aires: Talleres Gráficos del Ministerio de Obras Públicas, 1916); public utilities: TCN, Vol. 9, p. 461; tramways: TCN, Vol. 10, pp. 429–30; ports: TCN, Vol. 9, p. 453; printing: TCN, Vol. 9, p. 277; hospitals: TCN, Vol.10, pp. 517–20.

⁵⁴ ‘Consideraciones sobre los resultados del censo ganadero’, TCN, Vol. 6, p. xlii. The rather conservative underlying assumption here is that entrepreneurs invested in activities whose profitability was at least as high as the alternative provided by the financial system. The resulting figure (around 7 per cent; methodology for obtaining that 7 per cent is available upon request) is consistent with the rate of return on investment in industrial capital and services that can be obtained following the empirical analysis by Pineda, Yovanna, ‘Manufacturing Profits and Strategies in Argentine Industrial Development, 1904–1930’, Business History, 49: 2 (2007), pp. 186–210CrossRefGoogle Scholar.

⁵⁵ Land used: TCN, Vol. 5, p. 683; rents: TCN, Vol. 5, pp. 752ff.

⁵⁶ Bunge, Riqueza y renta, p. 74.

⁵⁷ TCN, Vol. 5, pp. 585–91 provides tables of the value of agricultural machinery and implements per province that gives the same numbers as TCN, Vol. 6, p. xlvi (table with values for agriculture and livestock production combined).

⁵⁸ Bunge, Riqueza y renta, p. 47.

⁵⁹ TCN, Vol. 6, p. 17.

⁶⁰ This is particularly true in the case of peones and jornaleros.

⁶¹ Bunge, Riqueza y renta, p. 74.

⁶² TCN, Vol. 6, p. 3.

⁶³ The equivalent coefficients are provided by Danilo Astori in respect of Uruguay in the central decades of the twentieth century; they indicate the quantity of land required to raise a unit of each kind of livestock. Astori, Danilo, La evolución tecnológica de la ganadería uruguaya 1930–1977 (Montevideo: Banda Oriental, 1979)Google Scholar.

⁶⁴ Bunge, Riqueza y renta, p. 74. This rate of return is different from that assumed for capital in the secondary and tertiary sectors (8 per cent). Given that the assumptions arise from Bunge's expert assessment in these sectors, we preferred to stick to his opinion. If we reduce the rate of return in the secondary and tertiary sectors to 4 per cent, the levels of GDP in each province diminish slightly but the relative positions of the provinces remain basically the same.

⁶⁵ Cortés Conde, ‘Estimaciones del Producto Bruto Interno’, p. 20.

⁶⁶ If labour income were imputed to the individuals classified as entrepreneurs following the criteria defined in the section ‘Labour Remuneration’ (above), the national average GDP would be AR$616.

⁶⁷ Cortés Conde, ‘Estimaciones del Producto Bruto Interno’, p. 17.

⁶⁸ These figures are the authors’ results based on the data used for calculating the GDPs.

⁶⁹ Livestock production, mainly sheep raising, started in Patagonia before the region was incorporated into the national economy in 1884 (Law no. 1532; see note 6). The most common form of productive organisation was large latifundia devoted to sheep raising, with very low population and labour inputs and small and scattered urban centres. See Míguez, ‘La gran expansión agraria’; Bandieri, Susana, ‘La Patagonia: Mitos y realidades de un espacio social heterogéneo’, in Gelman, Jorge (ed.), La historia económica argentina en la encrucijada: Balances y perspectivas (Buenos Aires: Prometeo, 2006), pp. 389–410Google Scholar; Soriano, Alberto and Paruelo, José M., ‘El pastoreo ovino’, Revista Ciencia Hoy, 2: 7 (1989), pp. 44–53Google Scholar.

⁷⁰ CFI–ITT, Relevamiento de la estructura regional, Vol. 2, p. 159 (population) and p. 205 (GDP).

⁷¹ Given these econometric outcomes, it is not surprising that the standard statistic tests of beta-convergence fail to find any significant evidence that the poorer provinces in 1914 grew faster in the period 1914–53 than the richer ones. See Barro, R. and Sala-i-Martin, X., ‘Convergence’, Journal of Political Economy, 100: 2 (1992), pp. 223–51CrossRefGoogle Scholar.

⁷² Cf. Maloney and Valencia Caicedo, ‘The Persistence of (Subnational) Fortune’, p. 2387.

⁷³ We placed trade, transportation and communications, electricity, gas and water, finance, housing, government, and other services in the tertiary sector for 1953: CFI–ITT, Relevamiento de la estructura regional, Vol. 2, p. 205.

⁷⁴ The CFI's estimate (Ibid.) distinguished the GDP of the province of Buenos Aires in the ‘Partidos Conurbanos’ (i.e. the administrative units bordering on the Capital Federal) from that in the ‘Partidos Restantes’ (i.e. the remaining administrative units of the province, more distant from the Capital Federal).

⁷⁵ CFI –ITT, Relevamiento de la estructura regional, Vol. 2, p. 205.

⁷⁶ Ibid.

⁷⁷ ‘The Persistence of (Subnational) Fortune’.