Fig. 3.

Responses to an epidemic shock in the industrial capitalist period (1750–1899) Notes: This figure depicts the impulse responses – estimated by Jordà (2005)’s local projections – of real wages (Panel A), GDP per capita growth (Panel B) and inflation (Panel C) to a shock in the epidemic death rate. A wars death rate and a dummy taking value one if an adverse climate event occurs and zero otherwise are included. To control for autocorrelation we include two lags of the dependent and control variables. Significant point estimates are denoted by dots. Grey bands indicate 90% confidence bands. Standard errors are corrected for heteroskedasticity and autocorrelation (Newey, West, 1987, Newey, West, 1994).