The mission: human capital transmission, economic persistence and culture in South America

Abstract

This article examines the long-term consequences of a historical human capital intervention. The Jesuit order founded religious missions amongst the Guarani, in modern-day Argentina, Brazil, and Paraguay. Before their expulsion in 1767, missionaries instructed indigenous inhabitants in reading, writing and various crafts. Using archival records, individual and municipal data, I show that educational attainment was and remains higher (by 10-15%) 250 years later, in areas of former Jesuit presence. These educational di erences have also translated into 10% higher incomes today. The positive e ect of Jesuit missions emerges after comparing them with abandoned Jesuit missions and Franciscan Guarani missions. The enduring e ects observed are consistent with cultural transmission mechanisms of occupational persistence, structural transformation, and technology adoption in agriculture.