ROCKWOOL Foundation Berlin
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rfberlin.bsky.social
ROCKWOOL Foundation Berlin
@rfberlin.bsky.social
We conduct independent research into significant challenges to the economy, society and the welfare state in a global world. Find more information on rfberlin.com.
(5/5) ➡️ We're living through a similar moment with AI. Early adoption of transformative technologies doesn't just create temporary gains — it can lock in advantages for decades or centuries. The choices regions make today may still matter in 2175.
January 15, 2026 at 2:37 PM
(4/5)💡 Policy Implications The steam engine triggered a self-reinforcing cycle: technology attracted skills, skills sparked innovation, innovation attracted productive firms. This cycle compounds across generations, creating lasting regional advantages.
January 15, 2026 at 2:37 PM
(3/5) 🔍 Key findings:
• German regions with higher steam engine density in 1875 have 4.6% higher wages today.
• Nearly 50% of this wage premium comes from more productive firms.
• These regions show sustained innovation — more patents both historically (1877–1918) and today (1980–2014).
January 15, 2026 at 2:37 PM
(2/5) Using newly digitized records from 1875 Prussia linked to modern German labor market data (1975–2019), the study traces how early adoption of transformative technology shaped regional fortunes across generations.
January 15, 2026 at 2:37 PM