Ricardo Andrés Guzmán

The Economics of Social Stratification in Premodern Societies

We present a microeconomic model of social stratification, which includes an endogenous fertility component. In the model, egalitarian and stratified societies coexist. The latter are divided into 2 hereditary classes: a warrior elite and a productive class. The model entails that the extra cost warriors must incur to train and equip their children for war determines the relative sizes of both classes and the degree of economic inequality. Higher costs of warrior children imply a greater economic advantage for warriors and a smaller ratio of warriors to producers. These results are consistent with the historical evidence. Finally, we explore conditions under which the social contributions of the warrior elite could discourage a revolution.

The Neolithic Revolution from a Price-Theoretic Perspective

The adoption of agriculture, some 10,000 years ago, triggered the first demographic explosion in human history. When fertility fell back to its original level, early farmers found themselves worse fed than the previous hunter-gatherers, and worked longer hours to make ends meet. I develop a dynamic, price-theoretic model with endogenous fertility that rationalises these events. The results are driven by the reduction in the cost of children that followed the adoption of agriculture.