The Rise of Neolithic Agriculture

Abstract

The article analyzes the economic reasons behind the rise of Neolithic agriculture some 10,000 years ago in consideration of evidence that agri-culture was not associated with increasing standards of living. On the basis of archeological and anthropological literature, the article presents a modelling framework that allows for four broad explanations to the agricultural transition; (i) environmental conditions, (ii) population pres-sure, (iii) cultural influence, and (iv) external factors. It is shown that the introduction of agriculture first increases welfare but then leads to a steady decline. The reason for this deterioration is the switch from a pure Malthusian population growth regime to a partly exogenous regime where population grows without constraints and drive hunter-gatherers into agriculture in a Boserupian manner. When the model is confronted with archeological evidence from the Jordan Valley, it appears that environmental change, population growth, and a uniquely favourable biogeography for domestication led to the introduction of agriculture.