Great Divergence

Maddison GDP per capita 1500-1950

European cities real wages

China Europe population 1000-1975

1 AD to 2003 AD Historical Trends in global distribution of GDP China India Western Europe USA Middle East

British.coalfields.19th.century

Great Divergence is a term used in history, economics, and sociology to describe the period in which the Western world overtook the Middle East, India, and China in terms of industrial development, economic growth, and technological advancement. This divergence began in the late 18th century and continued into the 19th century, leading to profound changes in global economic and political power dynamics.

Origins

The origins of the Great Divergence can be traced back to multiple factors that contributed to the Western world's rapid industrialization and economic expansion. Key among these were the Scientific Revolution, which laid the groundwork for technological innovations; the Agricultural Revolution, which increased food production and supported population growth; and the development of capitalist economic practices, which encouraged investment in new technologies and industries.

Factors Contributing to the Great Divergence

Several critical factors played a role in the Great Divergence:

• Technological Innovation: The invention and adoption of new technologies, such as the steam engine and spinning jenny, significantly boosted productivity in the Western world.
• Political Stability: Many Western nations experienced periods of relative political stability, which facilitated economic growth and industrial development.
• Colonialism: The acquisition of colonies provided European powers with vast resources and markets for their manufactured goods.
• Legal Systems: The development of legal frameworks that protected property rights and encouraged entrepreneurship played a crucial role in the West's economic rise.
• Education and Science: Advances in education and a strong emphasis on scientific research fueled innovation and technological progress in the Western world.

Impact

The Great Divergence had a profound impact on the global distribution of power and wealth. It led to the dominance of Western powers in international affairs and established a pattern of economic and political inequality that persists to this day. The industrial and economic advancements of the Western world also had significant social and environmental consequences, including urbanization, the transformation of social classes, and the exploitation of natural resources.

The Great Convergence

In recent decades, the trend of the Great Divergence has shown signs of reversing, a phenomenon often referred to as the Great Convergence. Countries such as China, India, and others in the Global South have experienced rapid economic growth, narrowing the gap with the more developed nations of the West. This shift is attributed to globalization, technological diffusion, and policy reforms that have fostered economic development in these regions.

See Also

• Industrial Revolution
• Colonialism
• Economic History
• Globalization

References

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