Riccardo Di Cato

Research

Working Papers

• Seeds of Market-Based Capitalism: Christian Missionaries and China’s Modernization Job Market Paper

  with Jiachen Li

  What explains the origin and takeoff of market-based capitalism in China?

  PDFSSRN
  Abstract

  This paper examines the historical and institutional roots of China’s market-based capitalism through the lens of financial development. We study how Christian missionaries facilitated the adoption of modern banks and the establishment of enterprises between 1857 and 1936, and how this historical exposure interacted with the market-oriented reforms of the 1980s to shape growth through 2022. Using a staggered difference-in-differences design for the pre-1936 period, we find that missionary presence increased modern banks by 31% and enterprises by 27%. Our evidence points to two mechanisms: practical education and the diffusion of useful knowledge through publications and translations. Missionaries, especially Protestants, introduced training in subjects such as mathematics, bookkeeping, economics, and English, helping local actors operate modern financial institutions. They also translated Western texts into vernacular Chinese, helping diffuse useful knowledge relevant to modern economic and financial practices. Using an instrumental variable strategy for long-run exposure, we document that these effects weakened between 1949 and 1978 but re-emerged after the market reforms. Overall, the results suggest that missionaries transmitted not only human capital, but also institution-specific knowledge that helped plant the seeds of market-based capitalism in China.

  Presentations: SIOE Conference, INSEAD (2026); HHDI–NIDE Workshop, Belfast (2026); IRES Workshop, Chapman University (2026); ASREC Conference, Chapman University (2026); ASREC Conference, George Mason University (2025); SOCAE Conference, UCLA (2025); DevPEC Conference, UC Berkeley (2025); University of Bologna WiP Seminar (2025); Migration and Development Conference, Bologna (2024); Boston University Center for the Study of Asia (2024).

  Funding: IHS Grant ($2,500); TRELS Grant ($1,000).

Selected Work in Progress

• Religious Broadcasting and Politics in Italy

  with Mattia Albertini

  Can religious identity shape elections?

  Abstract

  Does religious broadcasting influence political behavior even when it does not explicitly endorse a political party? We study Radio Maria, a Catholic radio network that expanded throughout Italy after 1987. We combine municipality-level parliamentary election returns with predicted radio signal strength, antenna locations, party classifications, and measures of broadcast content. Our empirical strategy exploits differences in signal propagation generated by local topography, while accounting for free-space signal strength, municipality characteristics, province-by-year shocks, and exposure to commercial television. Greater exposure to Radio Maria increases support for religious and centrist parties, while modestly reducing support for parties on both the left and the right. It also appears to reduce ideological polarization. These effects emerged as Christian Democracy, the traditional political home of Italian Catholics, was disappearing. The findings suggest that religious media can preserve and reorganize religious political identity even in the absence of direct partisan endorsements, creating a centrist Catholic political channel after the collapse of explicitly confessional parties.

• Religious Broadcasting and Belief Formation in Tanzania

  with Mattia Albertini

  Are religious media effective at influencing beliefs and civic engagement?

  Abstract

  Can mass religious broadcasting change religious identity and social behavior? We study the expansion of Radio Maria across Tanzania between 2001 and 2024. We combine the staggered rollout of the network’s transmitters with predicted signal strength, individual-level data from Afrobarometer and the Demographic and Health Surveys, and geocoded conflict data from ACLED. Our empirical strategy compares locations with similar proximity to transmitters but different signal reception because of local topography, while accounting for free-space signal, other radio coverage, and location and year fixed effects. Exposure to Radio Maria increases Catholic affiliation and reduces Protestant affiliation, with larger effects in places farther from historical Catholic missions. It also reduces in-person contact with religious leaders, consistent with radio partly substituting for traditional religious institutions. We find little change in most social and intergroup attitudes, but some reduction in conventional political engagement and an increase in protests and religiously connected events. These additional events are not accompanied by more fatalities or violence against civilians. The results show how religious media can reshape affiliation while also affecting civic mobilization.

• The Adult Film Industry and Violence Against Women

  with Santiago Cantillo

  Does the adult film industry affect violence against women?

• Increasing Female Employment in the Automotive Sector in India

  with Garima Sharma, Anant Nyshadham, Achyuta Adhvaryu

  How can women’s participation in male-dominated industries be increased?

Backstory Podcast

Backstory: How Research Papers in Economics Get Made

Tune into the Backstory Podcast with hosts Riccardo Di Cato, Aakash Bhalothia, Santiago Cantillo, and Maddison Erbabian for a deep dive into the behind-the-scenes process of economic research. Each episode unpacks the hidden journey from a paper’s conception to its publication, sharing the challenges and triumphs scholars face along the way. Conceptualized by Paul Niehaus and brought to life by UCSD grad students, Backstory gives voice to the stories that academia often leaves untold.

Find all episodes on Spotify and Apple Podcasts.

Teaching & Mentoring

Public Goods