Without coal in the age of steam and dams in the age of electricity : An explanation for the failure of Portugal to industrialize before the Second World War
We provide a natural resource explanation for the divergence of the Portuguese economy relative to other European countries before the Second World War. First, we demonstrate that a lack of domestic resources meant that Portugal experienced limited and unbalanced growth during the age of steam. Imports of coal were prohibitively expensive for inland areas. Coastal areas industrialized through stea
