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The Beginningsof Indwstrialization

SHEILAGH OGILVIE

Germanv and industrialization

It may seem curious to speak of industrialization as beginning around 1500. Industrialization is often regarded as synonymous with the rise of mechanized manufacturing in centralized facrories, and this did nor occur even in England until 1760-80, and in not until 1830-50. But machines and factories were only late landmarks - albeit important ones - in a much longer process of industrial growth in , dating back to at least 1500. This long-term industrializationwas basedalmost wholly on decentralized work in producers' own houses, using domestic labour and a simple, slowly changing technology. Yet it was responsible for a gradual expansion in the proportion of the labour-force working in and the share of the total output of the economy representedby manufactures. It was also responsiblefor the emergence,between about 1500 and about 'indus- 1800, of what German historianshave called Gewerbelandschaften, trial ', in which an above-averageproportion of people worked in industry and a substantial share of what they produced was exported beyond the .l Important as factory industrialization was, many of its seeds were sown long before, during the slow and dispersed industri- alization of many regions of early modern Europe. This early modern industrial growth was part of a wider process of regional specializatioa, which began slowly in the late medieval period, but accelerated decisively during the sixteenth century. During this process many more European regions than ever before began to specializein partic- ular forms of agriculture, as well as particular branchesof industry, produc- ing surpluses for export and importing what they did not produce for themselves.Thus regional self-sufficiency declined, and inter-regional trade grew. For the first time, large volumes of non-luxury goods began to be traded not only among households and communities, but also among -1800 Germany,1630 The beginnings of industralization 265

regions. By the end of rhe sixteenthcenrury specializedregions had arisen and were supplying and metals to the Atlantic trade. North- all over Europe, producing surplusesof grain, livestock, industrial raw eastern Germany was supplying grain to the growing consumer markets of materials, and manufactured products, and exporting them. Without The and England. The Hanseatic cities (particularly ) increasesin agricultural production and improvementsin trade, those spe- and the great fair centres of and an der functioned cializingin industry would have iacked food, and those specializingin ihe as important commercial channelsfor raw materials from easternEurope production of food would nor have provided markets for industry - and to feed the growing demand of the Atlantic economies. Through its multi- hence the specializationand growth of industry could not have occurred. ple connections with the Mediterranean and Atlantic worlds, Germany The early beginnings of industrialization were thus part of a wider process occupied a central position in the growing European economy of the six- of regional specialization,in which the growth of agriculture and trade teenth century. played essentialroles.2 It is thereforeall the more striking that by 1800 Germany as a whole had Germany took part fully in the regional specializationand economic becomerelativeiy backward compared to much of western Europe - espe- growrh of the sixteenrh century. As early as 1500, the cially England and Flanders,but also Switzerlandand .The relative region around Nuremberg and was one of the three important retardation of German agriculture and trade, discussedin Chapters 3 and 4 manufacturing regions of Europe, alongsideUpper and Central and of this volume, were paralleled in German industry by the late eighteenth The Netherlands. By 1600, building on this base,some of the mosr vigor- century.'While England had begun to industrialize in the , and ous indusrrial and trading areasin Europe r+'erelocated in German-speak- Belgium, , and France followed over the next few decades, ing . and metal production, in particular, had seen Germany would not see industrial take-off until the 1840s. One or two importanr technological innovations and enormous growth. In 1500, rhe very advanced German regions, in the and , experienced Holy was already producing 'pre-industrialization' half the in Europe; the what has been called from the late 1780s onward, sixteenth century saw an estimated doubling of output, and the rise and with the scattered introduction of factories and machines, but even they did growth of metal-producing regions in rhe Rhineland, , the , not seetrue factory industrializationuntil after about 1810. \X/estphaliadid Upper Saxonn a'd the Thuringian '- .In rextile production, the not industrialize until the 1850s, Wi.irttembergand Baden not until the ing sector' of early modern industry, Germany was less advanced.In the 1870s, and much ofthe PrussianEast not until the very end ofthe woollen branch, English and Dutch imports were generally cheaper and nineteenthcentury. By 1800, therefore,German industrial developmentwas better than German products, but the sixteenthcentury saw the expansion characterized by two striking features: overall relative backwardness (even of German sheepherds, the introduction by Dutch religiousrefugees of the 'nerv in the most advancedregions), and enormous regionalvariation.s more saleable draperies' or worsteds, and the rise of Geiman fine How was Germany transformed from the dynamic and advancedecon- woollen industries.wide expanses of Germany were well suited to cul- omy of the sixteenth century into the relatively stagnant and conservative tivation, and during rhe sixteenrh cenrury flourishing regions dever- backwater of 1800? This question underlies any account of che growth oped beyond the traditional German linen area in Upper Germany, to rhe which did take place in German industry between1500 and 1800. The two Rhineland, , Saxony, and Silesia. had begun to be answers most often proposed emphasize external shocks, one at the begin- imported in large quantities as early as the fifteenth cenrury by the great ning of Germany'slong relativedecline - the Thirty Years'War- and one at south German Imperial cities, where it was turned into 1arinen-cot- the end, in the competition from foreign (especiallyBritish) cotton, facto- ton mix)' Turnover of dyed fustian in increasedby a factor of ries, and machines.However, there are some problemswith such exogenous twenty in the course of the sixreenth cenrury, peaking at 410,000 pieces expianationsof German industrial development. annuallyin the decadeafter 1600.3 It is certainly true that the 'great war' devastatedmany areasof Germany commercially, too, Germany occupied an aclvantageousposition in between 1620 and 1650. But, as discussed in Chapter 8 of this volume, 1600. During mosr of the sixteenth century, the .conomi-c ...rr." of gravity most of the direct demographic and economic depredations of this war of Euro_pestill clearly lay in the Mediterranean world, and the floriishing were made good quite rapidly. According to the thorough survey by Karl- south German Imperial cities functioned as important links between the Heinrich Kaufhold, most German industrial regionswhich were hit hard by Mediterranean and northern Europe. yet the cenrre of gravity of the the Thirty Years rVar recovered astonishingly quickly.5 In a number of Europeaneconomy was gradually shifting to rhe north Atlaniic, with which German regions there had already been signs of downturn by the end of the Germany also had numerous imporrant ties.a fhe Rhineland and sixteenth century, a generation before the war began, at the beginning of westphalia were aiready supplying to Dutch markets 'crisis and comper- the of the seventeenth century' which alflicted many parts of ing with The Netherlandsand England through lower labour cosrs.Saxtny Europe.T The severity of the Thirty Years War was not geographically Germany,1630 -1800 Th e beginnings of industralization zo/ correlated with subsequent industrial backwardness. Rather, a number of historian of Flanders, Franklin Mendels, to describe the growth of export- regions hard hit by the war were subsequently among the most industrial- orientated rural industries which took place in many parts of Europe ized in Germany: the linen and worsted regionsof depopulatedand devas- between about 1500 and about 1800. According to Mendels, these'proto- tated \Tiirttemberg; much of the Rhineland, which had been a corridor for industries' were responsible for generating the population growth, labour, rroop movements;and the linen regions of Saxony and Silesia.8Historians capital, entrepreneurship, commercial agriculture, and consumer markets generally agree that the most profound and enduring effects of the ultimately required for factory industriaiization.lr Mendels' hypotheses war were indirect: not the immediate loss of labour or capital, nor even were extendedin 1,977when three German historians,Peter Kriedte, Hans the disruption of trade routes, but rather the ratchet-like growth in the Medick and Jtirgen Schlumbohm, argued that proto-industrialization 'feudalism' 'capi- powers of the state, and the proliferation of privileges granted to favoured played a major role in the European transition from to social groups by princes concernedto ensure fiscal and political supporr talism'.12 'proto-industries' during military crises.e These indirect effects were influenced by social How are supposedto have transformedEuropean soci- and political institutions, which varied widely from one German territory etiesso fundamentally?13For one thing, they are supposedto have changed to the next. What mattered for industry was not the war itself, but how people'sdemographic behaviour.Before proto-industries,it is argued, pop- each German society responded to it; and that depended on its internal ulation growth was slow, becauseit was carefully adjusted to slow eco- characteristics. nomic growth, through late marriage (in the mid- to late twenties) and high The relative backwardness of German industries is also sometimes celibacy (10-15 per cent of people never marrying). Proto-industriesare explained in terms of competition from English factories after 1750. But supposedto have freed marriage from waiting on inheritance,enabling uni- this explanation encounters similar problems. Many German industries versal marri age at an early age. Early and universal marriage, combined were already falling behind non-factory industries in England, Flanders, with the increasedvalue of child labour in proto-industrial work, increased 'population population growth cre- and Switzerland as early as the seventeenthcentury, long before the first fertility, leading to a explosion'. This labour for the first factories factories. Moreover, the proliferation of factories in England itself was ated an unlimited supply of cheap industrial Medick, and Schlumbohm,helped to break quite slow: only a very small percentageof English industry mechanized and also, accordingto Kriedte' 'feudal' society.ia until around 1820, and the replacementof linen by cotton in the European down the structuresof traditional supposed to have changed society and the econ- sector took at least 50 years (from 1780 to 1830). The continental Proto-industries are also through transforming socialinstitutions. Because proto-indus- European economieshad a long time to adjust; and different economiesdid omy directlS in the countryside, it is argued, they circumvented town so in different ways. Belgium and Switzerland responded by shifting from rriei arose craft guilds, and merchant companies,causing these traditional linen to cotton and introducing mechanizedproductionl so, more hesi- privileges, urban institutions ro break down. Becausethey brought in their train popu- tantly, did Saxony and the Rhineland. But other German linen regions (in lation growth, non-agricultural livelihoods,continual expansionin produc- Silesia, Wiirttemberg, and \Wesryhalia) obstinately resisted cotton and rion, and new economic and sociai practices,rhey also helped break down machines for many generations. The effect of factory competition thus var- traditional rural institutions such as village communitiesand manorial sys- ied widely accordingto the ability and willingnessof different German soci- 'feudal' tems. In place of institutions - privileged towns, guilds, merchant etiesto adapt to the challenge.lo - associations,peasant communities, and manorial systems proto-industries 'capitalist' introduced what was to becomethe central institution of society: the market.15 Finally, proto-industriesare supposedto have generatedthe inputs neces- The theory of proto-industrialization sary for fictory industrialization. According to the. theorists, they stimu- lated production of the food surplusesand industrial raw materialsneeded for factories by encouraging the rise of regions specializing in commercial If German industrial development in the seventeenthand eighreenth cen- agriculture. They creati t"h. .h."p industrial labour which would ulti- turies cannot be explained in terms of exogenous factors, such as war or m"ately be recruiied into the factories; they accumulated the capital neces- foreign competition, how can it be explained? A major contender for the ."ry fo, investing in the first factories thiough the profits they made for both role of explaining industrial development, not just in Germany but mrr.h"nt, pitte.r-o.rt; finalln they created the consumer markets' 'theory ".td first throughout Europe in the , is the of proto- at home and abroad, which *orrid subsequently buy the output of the 'Proto-industrialization' industrialization'. is a term invented in 7972 bv a factories.l6 -1800 Germany,1630 Tbe beginnings of industralization 269 'proto-industries' The terms'proto-industry' and'proto-industrialization' have beenwidely economieswith numerous (such as Germany) grew and adopted by historiansof Germany seekinga conciseway of referring to the industrialized more slowly than others (such as England, Flanders, component of the regional specialization industrial which took place here, Switzerland,or France).Nor do the theoriesof proto-industrializationcon- as elsewherein Europe, during the early modern period.17But how useful is cern themselveswith why certain early modern industrial regions (such as the tbeory of proto-industrialization in explaining the development of those in Saxony or the Rhineland) experiencedrapid economic,social, and industry in Germany between 1500 and 1800? Sincethe original hypothe- demographic developmentbetween 1600 and 1800, while others (such as ses about proto-industrialization were put forward in the 1970s, there has 'Westphalia, those in lftrttemberg, or Silesia) remained extraordinarily been an outpouring of research on early modern export industries all over resistant to change for centuries." Ho*, then, might historians provide a Europe, including Germany. This rich new body of empirical work, much satisfactory account of the industrial development of different parrs of early of it directly stimulated by the theory of proto-industrialization, has modern Germany? revealeda number of fundamentaldrawbacks to the original hypotheses. The systematic changes which the growth of rural export industries are supposedto have wrought in demographicbehaviour have failed to mareri- alize.Instead, a very wide variety of demographicpatterns can be observed in different proto-industrial regions; this is reflected by considerable demo- Early modernGerman industrial regions graphic variation among different German industrial regionsbefore 1800.18 The replacementof traditional social institutions by markets shows little geographical or chronological association with the rise of rural exporr One approach has been to try to put together a complete empirical pic- industries; in Germany, as we will see below, traditional institurions sur- ture of German industries before 1800. Although there is a rich older lit- vived in rnany industrial regions. The commercialization of agriculture erarure, most of it is oriented toward specific industries, Landesgeschicbte appearsto have begun in many placesbefore, and independentlyof, the rise (the history of particular German territories), or the teleologicalperspec- of proto-industries; urban centres already provided a substantial pool of tives of German factory industrialization in the nineteenth century.22As a demand for agricultural surpluses,even without rural industrial regions. consequencethe state of researchon early modern Germany industry is Indeed,the neglectof the role of towns and cities in early modern industri- fragmentary, with plenty of case studies but few general perspectives,and alization is widely recognized as a major gap in the theory. Finally, it has no complete account of what happenedto industry in Germany as a whole proved difficult to establishclear links betweenproto-industrialization and in the course of the early modern period. In an attempt to remedy this factory industrialization:the labour, capital, skills, food supplies,raw mate- unsatisfactorystate of affairs, in 1,985Karl-Heinrich Kaufhold undertook rials, and consumer markets for the early factories did not necessarily the heroic task of providing a thorough survey of German industries derive from proto-industries;and although some proto-industrial regions between1650 and 1800. Eschewingthe term'proto-industry'as too restric- successfullymade the transition to machinesand factories,others remained tive, he focused on Gewerbelandschaften (industrial regions), which he proto-industrial, and still others shifted back to agriculture.le defined as regions with an above-averagedensity of industrial employment To sum up: the growrh of rural export industries, although indeed wide- and a large proportion of output sold beyond the region.23On the basis spread in early modern Europe, had widely varying demographic, social, of the scattered and uneven existing literature, he identified no fewer than and economic effects. Indeed, this regional variation is itielf one of the thirty-nine industrial regions in Germany before 1800. These are listed in most striking findings ro emerge from the last 20 years of empirical Table 9.1, and their general locations are shown in Fig.9.1. Kaufhold's research on proto-industrialization. Rather rhan attempting to foice all survey provides historians with a much better picture than before of the early modern European industries into the straitjacket of a single pattern of characteristics of early industrialization in Germany which any satisfactory 'second development,the generation' of proto-industrializati,cnitudies is theory about it must explain. now focusing on explaining the uariation industries and regions, as As can be seen from Table 9.1, there were wide expansesof Germany a more p.romising "-ong approach to explaining rhe sources of economic change with no industrial regions. In the far North and East - Schleswig-Holstein, and developmenr.20 , and the easternand central provincesof (, This is particularly relevant in the German conrexr, since the theories of East and , Lithuania, the Netze District (Notee ), , proto-industrialization assume that all of Europe responded in much the , , and ) - there was little rural industry, same way to the economic changesof the early modern period. They do not and even the densest urban industries (as in ) were oriented primar- even address - let - question of why alone answer the some EuroDean ily to the local market.24lndustrial regions were also absent from parts of The beginningsof industralization

^Iable 9.1 cont. Table 9.1 German industrial regions c. 1800: a provisional surveyu Neuwieder Beckenwith Iron; furniture; ' Industrial region Most important products and branchesof industryb (Middle Rhineland) Nordeifel (North Rhineland) Iron, lead; fine woollens; sole-leather Upper (SaxonY) Linen and linen cloth Aachen--Diiren(North Mineral , brass;woollens; iron and iron wares; and area Cotton yarn and cloths, stockings,gloves, caps, Rhineland) paper;needles (SaxonY) etc., -printing Krefeld-Gladbach-Rheidtand wares; linen yarn and linen cloth; cotton cloth Erzgebirge( Mountains) ,, , dyes; iron and iron wares; - area (North Rhineland) straw- (Saxony) making, trimmings-making,embroidery; Siegerlandand Principality of Iron, steel,lead, silver,; linen cloth; cotton plaiting, toys Nassau-(North cloth; sole-leather (Saxony) Cotton yarn and cotton cloth; embroidery; lace- Rhineland) instruments making; stockings,caps; musical (North Iron, steel;iron and steelwares; wire; needles;brass Region of Schmalkalden, Iron, steel;iron and steelwares, especiallyweapons Rhineland) wares; woollens; cotton cloth 'upper' Zella, Mehlis, and of Berg, half Steel;iron and steelwares, esp. cudery and small () (North Rhineland) iron wares; cotton yarn and cotton cloth; woollens 'lower' Meininger Oberland Toys; wooden wares; slatesand -pencils , half Yarn-bleaching;ribbons, cords, braid; linen cloth; (esp.Kreis ) (North Rhineland) cotton yarn and cotton cloth; ; silk wares (Thuringia) Tecklenburg(Vestphalia) Linen yarn and linen cloth lVooden Schwarzburgische and iron wares; medicaments Minden-Ravensburg Linen yarn and linen cloth Oberherrschafren (Vestphalia) 'Western (Thuringia) Miinsterland Linen cloth ReuB principalities (Vestphalia) (Thuringia) Woollens and worsteds;cotton cloths, stockings - (Vestphalia) Linen yarn and linen cloth Duchy of Stockings Prince-Bishopricof Osnabriick Linen yarn and linen cloth (Thuringia) (Westphalia) \Worsteds; Obereichsfeld(Thuringia) linen cloth Harz () Silver,lead, copper,iron Lower Silesianmountains Linen yarn and linen cloth Central and southern Lower Linen yarn and linen cloth (Siiesia) Saxony Upper Silesianmining area Iron, lead, silver,tin, mineral coal North Hesse Linen yarn and linen cloth (Silesia) Area around Nuremberg Cotton cloths and cotton wares; stockings;needles; ' 'Industrialregions' are definedas beingareas in which therewas an above-average (Principality of ) mirrors; Lyon wire densityof industry(measured according to numberemployed in industryper 1,000 () inhabitants)and wherethe industriesinvolved sold a considerableproportion of their Area around Bayreuth Cotton yarn and cotton cloth output beyondthe localarea. (Franconia) h The orderof appearanceis not identicalto the orderof importance(which cannot be Area around (Franconia) Cotton yarn and cotton cloth estimatedbecau# of lack of adequateempirical informationl. Upper Palatinate Iron; glass;linen cloth Source:K.-H. Kaufhold,'Gewerbelandschaften in der friihenNeuzeit', in H. Pohl,ed., () yarn linen cloth; embroidery; cotton Allgdu Linen and Getuerbe-und Industrielandschaftenuom Spiitmittelaberbis ins 20. Jahrhundert cloth (,1985),pp. 112-202,this table on pp.171-3;definition ofindustrial region Ulm and area (Swabia) Linen yarn and linen cloth on pp. I l4-15. (- Linen yarn and linen cloth Urach-Miinsingen- the German South: Bavaria and most of present-day Baden except for the )(lfiirttemberg) EasternBlack Forestand its Worsteds had a high general density of locally oriented rural crafts, but easternfoothills no concentrated and export-oriented industrial regions.2sAt the other end (Wiirttemberg) of the spectrum, there were four large geographical agglomerations within Southern Black Forest Embroidery; cotton yarn and cotton cloth Germany which together accounted for more than three-quarters of the (Baden,Anterior , etc.) industrial High Black Forest (Todtnau, ; music-boxes;straw-plaiting, brushes, regions identified by Kaufhold: Saxony-Thuringia (containing Triberg, Furtwangen, sPoons more than one-quarter of all German industrial regions), the Rhineland Neustadt)(Baden, Anrerior (with more than one-fifth), south-, and Westphalia-Lower Austria, etc.) Saxony.26 Industry was distributed across Germany very unevenly. Saar area (Middle Rhineland) Mineral coal, iron; glass Early modern German indusrial production was also concentrated into NORTH 5EA I I 'l DUCHYof t PRUSSIA I -Ft.- L,,n.'-

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(despite of the I important input for early modern industry. But all inputs had opportunity nor by urban or rural industry alone the importance I latter), nor by any particular form of enterprise(not even domestic I costs:labour which a householdallocated to could not simultane- industry or putting-out, despite the fact that they were very wide- ously be used for farming; land used for growing flax could not simultane- spread).rVhen they becamesufficiently widespread- and not alone, ously be used for growing grain;35capital investedin or looms could but in typical combinations - rhese factors influenced the develop- not be used to buy cattle or build a barn. So, for example, opportunity ment of particular regions or groups of regions,sometimes consider- costs explain why industries often arose in barren, mountainous regions: ably, but they did not becomegeneral causes of development.3o the opportunity cost of allocating labour, land, and capital to industry was very low in terms of foregone agricultural income. proto-industrialization, with its stress on rural domestic The theory of An important component of opportunity costs is transactiozs costsrcosts toward the putting-out system, offers industry arrd a unilineal progression incurred in all the transactions connected with obtaining inputs, moving 'a the too one-sidedand short-sightedexplanation'.31 product along from one stageof production to the next, and sellingit to the 'typology' positive explanarionto But when it comesto formulating a or final customer.Transactions costs include costs of transportation, negoria- parts Germany but account for why industrial regions arose in certain of tion, information, contract enforcement,protection from coercion, and so not in others, or why some grew and others declined, Kaufhold is much 'loca- on. Chapter 4 of this volume illustratesthe enormous addition to the final more hesitant.His empirical survey leadshim to concludethat three price to customerscaused simply by two of the most easilyquantified trans- tion factors' were essential:labour supply, raw materials,and market out- actions costs, those of transportation fees and customs charges. Other lets. Capital, technology, and state industrial policies were much less transactionscosts, such as those incurred in preventing embezzlementof important.32 However, he finds that no general conclusions can be drawn raw materials or conveying information about changes in 'loca- demand from about which regions of Germany could be expectedto supply such potential customersto producers,are harder to quantify but no lessimpor- tion factors' in the requisiteamounts, or why. Industrial labour supply was tant. 'location affected by population growth, agriculture, social stratification, and entry Thinking about the factors' for early modern industriesin terms restrictions(such as guild rules).33Raw materialswere sometimesproduced of costsgives us a powerful tool for understandingwhy industriesarose in within German industrial regions, but often imported.3a Markets for certain regions of Germany rather than orhers, and why different industries German manufactures were created through growing domestic demand, responded to changing circumstances in different ways. An industry was European outlets, the growth of overseascolonies, improvements in trans- more likely to arise in a region where its particular mix of inputs and trans- portation, and the entrepreneurial activities of merchants.3s In short, actions r.vasleast costly. Once in existence, an industry organized produc- Kaufhold's survey provides enormously useful empirical generalizations, tion so as to minimize costs within the constraints imposed by the natural but no explanation for why German industries were located where they and social characteristicsof the region. This did not even require conscious were, and why they developed as they did. Must we content ourselveswith calculation on the part of producers: the grim realitiesof survival meant empirical descriptions,or are there more general explanatory tools avail- that if you produced at higher cost than spinners,weavers, or meral-work- able which can help ro make senseof the heterogeneityin early modern ers in a neighbouring region, your products went unsold on export mar- German industrial development? kets, your family went hungry, and you were not be able ro go on 'location There is, in fact, a single general concept underlying all the fac- producing. Even the protectionist legislation of cities and princes created tors' one meets in descriptive accounts of early modern industries. This is only regional or, at most, national monopolies, and could not protect pro- opportunity cost, the central idea behind the economic theory of supply, ducers from cost competition on international export markets.3TPoverty and thus the fundamental explanation for why certain European regions I and scarcity alone ensured that cost martered. What, then, determined the and not others supplied industrial goods in the early modern period. All costs - and thus the location and developmenr - of industries in early forms of production require inputs of resources- labour, capital, land, raw modern Germany? materials. Becauseeach of these resourcescould be used in other ways, it has what economists call an 'opportunity cosr' - a cost in terms of the next- best alternative use for it. 'Opportunity cost' is a more useful way of think- { ing about costs than simple money costs, becauseit takes into account costs I which are not traded in markets or expressed in money terms. In early modern Europe many goods were not formally traded in markets and thus did not have money prices; this was especiallythe case for labour, the most 276 Germany.1630 -1.800 The beginningsof industralization 277

Industry and nature Rhineland; the important linen industry of the western Miinsterland of \Westphalia;and the linen region in Lower Saxony.This is not surprising, since there were many factors other than agricultural infertility which influ- enced the costs of industry. Early modern indusrries w€re generally more dependent on nature than Nature also clearly affected industrial costs through raw marerials. industries are nowadays. Becauseagriculture made up most of the econ- Where nature provided existing depositsof raw materials(such as iron omy, the opportunity cost of using resourcesin industry was strongly ore or wood), or favoured their cultivation (as with flax or wool), they would aff-ectedby the costs of using them in agriculture, and these in turn were tend to be cheaper. Hclding other factors constant, this would favour powerfully affected by natural factors such as and . Because the rise of industrieswhich used thesematerials. However, other factors, such trade was still costly and primitive, industries were still very reliant on as the cost of labour, were not always held constant.This made it profirable local inputs, and thus strongly affected by the natural endowments of the to sell natural raw materialsto areaswith low labour costsor other advan- local region. In most early modern industries,relatively immobile inputs tages instead of using them in industry locally. The existenceof trade meant (such as raw materials and labour) made up a larger percentageof costs that natural endowments of raw materialswere seldom sufficient in them- than mobile inputs (suchas capital, technology,and knowhow); again, this selvesto give rise to an industry.a0 made industriesmore dependenton local resourceendowments. As a result, But they were very important for industries such as metals and glass, the costs of industrial production in a particular region were affecred by which usedlarge volumesof heavy raw materialsor fuelswhich were costly the region's natural endowments - its climate, scil, natural resources, ro transport from their'natural' location.alFuels became even more impor- energy supplies, topographical barriers to transportation, locarion near tant for the iron industry during the sixteenth century with the spread of trade routes. and so on.38The effecrof local natural endowmentson indus- 'indirect the process',which required much higher heat levels,consuming trial cost may even have been higher in early modern than Germany in more than 250 kilograms of to produce 100 kilograms of raw many parts other of western Europe, becausetrade faced more obstacles iron.a2Accordingly, the German iron industriesdid arise in closeproximity in Germany than elsewhere,and the geographicaimobility of labour was to ore deposits and/or : in the , the Harz, Upper (by often institutionally restricted ties of in the East, for example, Saxony, , the Upper Palatinate, the Saar and Neuwieder or by community citizenshiprestrictions in the South). That is, the extent Becken in the central Rhineland. and in several areas of the northern to which natural endowments influencedindustry dependedvery much on Rhineland.alThe inexorable rise in coststriggered by exhaustionof ore or the extent to which social arrangemenrsincreased (or reduced) the costs wood deposits led to the decline of many of the great sixteenth-century of moving raw materials and labour away from the place where they German iron regions (such as the Upper Palatinate)around 1500, and the 'naturally'. occurred emergenceof new centres(such as the Harz and Silesia)in the courseof the Perhapsthe most important way in which natural endowments affected seventeenthand eighteenth centuries.aalron-processing was often very the opportuniry costs of industr5 and thus irs locarion and development, dependenton water-power to drive the forge-hammers,and thus smithies lWhere was through their influence on agriculture. soil and climate were tended to be located along waterways. As Reininghausobserves, this pre- such as to favour agriculture,this increasedthe opportunity costs of using vented iron-goods industries from arising in the north German plains, any resource - labour, capital, or land - for industry instead. This accounts where the waterways were too slow to drive hammers; wind power did not for Kaufhold's finding that German industrial regions, with a few excep- provide an adequate substitute.asGlass, too, required large quantities of tions, did not tend to be located in the fertile plains: eight of the nine great three heavy raw materials: lime, siliceousearth or quartz sand, and wood rangesof hills in Germany - the SwabianJura, the Black Forest,rhe , tbr potash and (especially)fuel. The scarcityof thesematerials meant that 'mobile' the ,the Harz, the Sudeten,the Erzgebirge,and the Thuringian the glass industry was even more than the iron industry: as the Forest - contained one or more industrial regions.3eThe less fertile example of Hesseshows, glassareas were worked out very quickly indeed. and lower temperarures common at higher altitudes reduced porential As a consequence,glass alone rarely determinedthe emergenceor survival agrarian yields, thereby lowering industrial opportunity costs. But a hilly of an industrial region.a5 location was not sufficient for the emergenceof an industrial region, as is As the early modern period progressed,however, even the metal and glass shown by the example of the non-industrialized in industries depended lesson local raw materials and more on imports' As Bavaria. Nor was it necessarSas is shown by the location of some of the early as the sixteenth century, many German iron-producing regions were most important indusrrial regions in Germany in the fertile plains: the vig- supplying raw and half-finished iron and steel to separate iron-processing orous linen and silk region around Krefeld, Gladbach, and Rheydt in the regions, and this tendency had become almost ubiquitous by the eighteenth 278 Germany,1630 -1800 The beginningsof industralization 279

century. The iron-processing regions of Mark and Berg in the Rhineland, for reduced the importance of natural endowments in determining the location instance, obtained raw iron and steel and half-finished goods from separate and development of German linen regions in the longer run. (although not very distant) regions in the Siegerlandand the principality of The German woollen industries, too, initially grew up (during the fif- Nassau-Dillenburg.Glass, too, was transported from its production areas teenth and sixteenth centuries) on the basis of indigenous sheep herds. The (like those in the Upper Palatinate)to separarenearby centresof polishing loss of many of these herds during the Thirty Years lVar is supposedto have and mirror production (in Nuremberg and Fi.irth). Charcoal was increas- been the cause of the decline of the German woollen industry. Certainly, ingly imported into iron- areas: in the eighteenth cenrury, as they those few German woollen regions which survived increasingly relied on ran out of wood, the Harz imported charcoal from the , and the imports of raw materials.53Thus Monschau in the Eifel area of the north- from the Sauerland of Westphalia.aTSocial arrangements could ern Rhineland became famed for producing some of the finest woollens in help make up for natural scarcity: thus the Siegerland managed ro susrain Europe, using imports of Spanish Merino wool.sa The production of an expanding metal industry between 1550 and 1800 despite scarcity of worsteds, lighter and cheaper cloths made of long-stranded combed wool charcoal, through the Haubergwirtschaft, a sysrem of collective administra- rarher than the shorter carded wool used for woollens, also initially estab- tion and rational cultivation of forests.a8In a number of German territories, lished itself in areas with indigenous supplies of wool: in the l7iirttemberg governments and communities re-planted the native deciduous trees with Black Forest from c. 1560 onward, and in and the Obereichsfeld in faster-growing conifers to replace fuel supplies more rapidly (as discussedin Thuringia in the later seventeenthcentury. However, all three main German Chapter 1 of this volume). Thus not only natural endowmenrsbut also trade worsted regions increasingly depended on raw-wool imports, the and the social organization of resourceexploitation affected the costs of raw ril/iirttemberg Black Forest from as early as 1500.55 materialsand fuels, and thus the location of industry. Becauseindustrial regions, being export-orientated, depended on trade to Natural endowments were less important for textile industries, which sell their output and obtain foodstuffs, and also increasingly imported raw used lighter and more easily tradeableraw materials,and little if any fuel. materials, their costs were affected by geographical location. Ease of trans- Silk and cotton could not in any case be economically cultivated in portation or proximity to trade routes or trade fairs meant lower transac- Germany; it was only the costs of flax, , and wool which could be tions costs. This was more irrrportant for goods in which transport and affected by natural variations among German regions.aeLinen production other transactions costs made up a higher proportion of the final price at did arise in those areasof Germany with the soils (lime and sand) and cli- which the wares could be sold: transactions costs thus mattered much more mate (cool and wet) required for growing flax and hemp: on a band run- for cheap mass-market wares than for expensiveluxury products, and more ning through northern Central Europe from the lower Rhineland through for heavy goods (suchas metals)than for light wares (suchas textiles).The Westphalia,Saxony, northern Bohemia, and Silesia;and a smaller area in enormousiy lower costs of water transportation ought to have given advan- 'no Swabia in the South.s0Yet the Saxon Vogtland, although less endowed tages to those German regions located along the short northern coastline with a favourable climate for flax cuhure ... never developeda linen busi- and on the five great rivers (the , the , the',the , and nessof commercial significance'(although it did developmany other indus- the Oder). But the location and development of German industrial regions tries).sl That is, natural endowments were not sufficient to bring a linen does not clearly follow the availability of water transportation. The North region into existence. Nor were they necessaryto create one: during the Seacoast and neighbouring territories were among the least industrialized early modern period, linen yarn began to be exported in huge volumes from parts of Germany. The Elbe flowed through highly industrialized Saxony, regions where flax was cultivated and spun, to others which specialized in but also through almost completely non-industrializedBrandenburg. The weaving, bleaching, lace-making, stocking-, or producing any num- Rhine flowed through the highly industrialized Rhineland, but also through ber of other fancy goods. Before 1600, the non-industrialized Austria in the far South- Swabia was importing linen yarn 'West. areas of Baden and Anterior from Austria, Bohemia, and Silesia, and by 1700 it was exporting yarn in ufiirttemberg did not extend as far as the Danube, and during most bulk to Switzerland. The Vupper and the county of Mark in the of the early modern period the \Tiirttemberg stretch of the was not Rhineland imported yarn from Westphalia, Lower Saxony, Hesse, and navigable.s5 Nevertheless, lfiirttemberg was more highly industrialized Silesia,and sent their own woven and bleachedgoods to France for further than neighbouring Bavaria (with the Danube) or Baden (with the Rhine). processing into luxury items. Silesia imported low-quality yarn from The N7estphaliancounty of Ravensbergbecame and remained an important Bohemia, Moravia, and Saxony, and exported high-quality Lothgarn to linen region despite the fact that its distance from trade routes made food The Netherlands for lace-making. exported its own high- imports too costly, so that it had to produce its own grain supply.s7The 'the quality yarn to Holland and England, while its own weavers imported Monschau woollen industry became first and most renowned in lower-quality yarn from Bohemia.s2 This enormous trade in linen yarn Europe', despite the extraordinarily high transport costs caused by its -1800 280 Germany,1630 The beginnings of industralization 28"1

difficult location; admittedly, this was partly due to the fact thar it pro- Germany territorial fragmentation meant that social institutions evolved duced very high-quality cloths, for which transporrarioncosrs comprised a differently, and varied enormouslS over short distances.5OThe ways in relatively low share of the (high) final price which could be chargedto cus- which markets were formally and informally regulatedby other socialinsti- tomers.s8The stimulus which trade provided to industry appearsto have rurions affectedthe costs, and thus the location and development,of most dependedas much on reduction in transactionscosts through the activities industriesin early modern Germany. of merchants - their seeking out of low-cosr rransporrarion and market links, their transmissionof information from customer to producer, their financing of the delay between production and sales- as on that engen- dered by natural location. Based on the geographical distribution of 'the Industrv and rural societv German industrial regions,Kaufhold concludesthat great trade routes oriented themselvesto the main locations of industry, more rhan the other way around'.'s9 By 1800 a larger share of industrial producrion was taking place in the Germany's natural resourceendowments did contribute to the location countrysidethan had beenthe casein 1500, partlv becauseof urban decline and developmentof its industriesbefore 1800. But their influencewas cir- and partly becauseof faster rural growth.6l Rural economic acriviry was cumscribed.Natural resourceswere more important for industriesrequir- regulared by landlords within the manorial system, and by village com- ing large volumes of heavy raw materials and fuels than for those with munities. Although formally organized around agrarian production, lighter and easily traded inputs. They were more imponanr for earlier these instirutions, becausethey regulated the use of labour, [and, stagesof production (suchas smeltingor spinning)than for later ones (such and capital in agriculture, inevitably affected the opportunity as smithing or weaving). Above all, the influenceof nature in a given case cost of these inputs in industry. Landlords and communities remained powerful depended on social arrangements,especially rrade. As trade became less in most parts of Germany until the later costly and more widespread,local endowmenrsdeclined in importancerela- eighteenth cenrury, to a much later date than, for example, tive to other influenceson costs.Thus industriesarose berween 1500 and in Flanders or in England.52But the preciseways in which rhey 1800 in areasof Germany without obvious natural advantages,while other regulated the rural econorny varied enormously from one German rerri- areasendowed with cheapraw materials,good energysupplies, favourable tory to the next, in a way which cannor be reduced merely to the dis- location on waterways, and infertile soils for agriculrure failed to develop tinction between the two ideal-typical German agrarian systems,the eastern into industrial regions.Nature alone was neither necessarynor sufficientto Gutsherrscbaft lwirh powerful landlords, srrong ries of serfdom, heavy causeindustries to arisein particular regionsor developin specificways. labour dues, and large demesne operations) and the western This should not be surprising.People make economic decisionswithin a Grundherrschaft (with weak landlords, few ties of serfdom, renrs in cash framework defined not jusr by nature but by society.That is, the costs of or kind, and little demesneacrivity). any economic activity - including industry - are affected by the social and This is illustrated by the relationship betweenearly industrializationand institutional framework governing the transactions through which inputs Gutsherrschaft. h is often argued rhar Gutsherrschaft - or indeed any are obtained, production is organized,and output is sold. It is sometimes agrarian systemwhich gave substantialpowers to landlords - was incom- assumedthat markets are the most imporrant social institutions governing patible with the expansion of early modern industry.63It is certainly true economic activity. But in most societies markets operate within the con- that institutional powers could enablelandlords, if rhey desired,to prevent straints imposed by other social institutions.This was certainly the casein rural people from engagingin industry.In many parts of northern and east- early modern Germany. Markets in labour, land, capital, raw materials, ern Germany, landlords did preciselythis. Thesewere fertile regions offer- foodstuffs, and industrial output - and thus rhe costs of all thesegoods - ing high returns to agriculture; rhus when peasanrssought to shift to were constrained by a variety of non-market institutions. In the counrry- industry, it was not because it was more productive than agriculture but side, where a Ereatdeal of German indusrrial production occurred before becauseir was lesssubject to landlord e*rortion. High agranan producriv- 1800, markets were regulatedby villagecommunities and manorial systems ity meant landlords had little incenriveto incur the cosrsof redefiningtheir with powerful landlords. In towns and cities,where most rrade and a good manorial powers to enable them to exrort dues from peasants'industrial share of industrial production srill took place, markets were constrained by work. But in less fertile regions the incentives were different. Here, people the powers and privileges of the towns rhemselvesand rheir constiruenr really did produce more valuable output working in industry than in agri- craft guilds and merchant companies. In both town and countryside, mar- culture, and as long as landlords could extend their powers to profit from kets were increasingly regulated by rhe expanding early modern srate. In it, they had an incentive to let their rural subjecrs shift to industry. The 282 Germany,1630 -1800 The beginningsof industralization 283

requisite widening of landlords' powers was ensured during the so-called enormous legal privileges associated with it under Gutsherrschaft. In the 'second - serfdom' the state-supported expansion in landlord powers in last decades of the eighteenth century, as the Saxon and Rhenish linen most areas of Gutsherrschaft from the later sixteenth century on. This com- industries began - however gradually - to shift to cotton and machines, the 'second bination of agricultural infertility and serfdom' permitted the rise greatest German linen industry of all, that of Siiesia, slid inexorably into of export-orientated industrial regions under conditions of Gutsberrschaft crisisand ultimate de-industrialization.6TIn the words of Herbert Kisch: in many parts of easrernand Central Europe: in Silesia(ruled by Austria In many ways the Silesianlinen tradescorroborate the contention ... until annexed by Prussiain 1740 -2), Bohemia,Moravia, Poland, Bulgaria, was not always, as might be generalizedfrom and parts of .6a that domestic industry 'feudal the English case,an agent of progress;rather, where domestic trades Originally it was argued that these proto-industries' arose only 'classic' have been appendicesof the feudal order they have had the opposite where there was a weakening or deviation from Gutsherrscbaft, effect.68 characterized by relations of serfdom defined according to strict legal crite- ria, and by large demesne farms specializing in grain production.5s Strong landlord powers were not incompatible with export-oriented 'deviation' Empirical studies, however, suggest that the only from domestic industry, but they were incompatible with long-term economic Gutsherrschaft in proto-industrial regions of central and easrern Europe growth. was that landlords exploited their institutional powers in the industrial sec- The more limited landlord powers characteristicof Grundherrschaft rn tor instead of (or as well as) in agriculture. The Gutswirtschaf (demesne Germany west of the Elbe could not artificially lower labour costs,but they economy) did not disappear,but rather expanded to include other rural permitted (or were associatedwith) other cost advantages:labour markets activities (in addition to the classicgrain farming): mining, smelting,glass- nor constrained by serfdom, more flexible land use, less incentive for capi- making, flax-growing, spinning, and weaving, whether in putting-our sys- tal to flow into landholding, livelier commerce,and more open rural mar- 'proto-factories' tems ol in manufacrories or on the feudal estate. kets. The rise of export-orientatedindustries in areas such as Saxony,the Landlords were no weaker in industrial rhan in agrarian regions of Rhineland, and lVilrttemberg benefitedfrom the relatively limited powers Gutsberrschaft. on the contrary, they permitted industries to arise precisely of landlords there to regulaterural society.Peter Kriedte finds that silk pro- because their expanding extra-economic powers enabled them to extract cessingtended to arise in those villages around Krefeld in the Rhineland revenuesfrom rhem: through loom fees, selling monopoly rights over peas- where landlords were least restrictive, a pattern also observed in parts of ants' output to foreign merchants, compelling workers to buy demesneflax England and Switzerland.6eBut there were also areas of Grundherrschaft, at above-market prices, encouraging their rural subjects to shift ro industry such as \Testphalia, where although landlord powers did not altogether by restricting accessto land, levying labour dues in the form of transporting prevent the rise of export-orientated linen production, they did exercise a 'Westphalia, and fuels and even somerimesspinningflax, using ties of serfdom to limiting influenceon it. Thus in parts of landlords continued to 'forced recruit wage-labour'at beiow-marketwages, and many other strate- exercise significant influence over land use and expansion of the rural gies.66It was preciselytheir low labour cosrs,forcibly maintained through industrial labour force, at least until the abolition of the Acker-Marken- landlords' exrra-economic powers, which made the export industries in \X/irtscbaft (the collective system of regulating agriculture, which often areas such as Silesiaand Bohemia so competitive internationally. What mat- involved important powers for landlords as well as peasantcommunities)' tered for industry was not whether landlords were strong or not, but the The Acker-Marken-Wirtscbaft was not abolished until the 1.770s in the precise powers they had and how they used them, and these varied from Prussian-ruledcounty of Ravensberg,and not until around 1810 in the one region of Gutsherrscbaft to the next. neighbouring prince-bishopric of Osnabriick. \Wolfgang Mager ascribes It was only in the longer term rhar rhe powers of landlords under Ravensberg'sultimately successfulfactory industrialization in the nine- Gutsherrschaft,which in Silesia,for insrance,kept flax and labour cosrsso teenth century, while most other rVestphalian linen districts de-indust- low and the region's yarn and linen exportr to .o-p.titive, became an rialized, partly to the early breakdown of the Ravensberg Acker- obstacle to industrial development. Beginning in the 1770s, the challenge of Marken-\X/irtscltaft.T0Thus even west of the Elbe landlord powers, while English cotton and mechanized production could not be met by cheap flax not preventing the rise of export-oriented industries, did constrain their and labour alone, but required technicaladaptation, skill, and capitai. But growth in some regions until the last decadesof the Old Empire, and set technological changes in linen production were opposed by silesian land- certain regionson divergentpaths of industrialization. lords concerned to maintain the revenue stream from their serf weaversl The other main social institution regulating the rural economy was the the Prussian stare instituted legal prohibitions on new pracrices. capitai village community. Originally it was argued that export-orientated rural flowed into landownership rather than indusrrial machines, becauseoi the industries only arose where communities were weak.71This seemedto be -1800 284 Germany,1630 The beginnings of industralization 285

borne out by early researchshowing proto-industriesarising in weak com- advantageswere present.In'Wiirttemberg, for instance,partible inheritance munities in preference to strong ones, in parts of England and generatedplentiful labour, manorial restrictionswere weak, and the great Switzerland.T2But later researchhas shown that although strong commu- sourh German trading cities were near. Consequently,the Swabian Jura nity institutions did increasethe costsof industries,it did not prevent them (with favourable conditions for flax cultivation) developed into a linen from arising in regions with other cost advantages.TsCommuniries, too, region, while the margins of the easternBlack Forest (with infertile soils, varied in strength from one German territory to the next, depending on the indigenoussheep-raising, plentiful water-power,and a tradition of woollen local institutional legacy,as well as the changing powers of landlords and manufacturing) becamea densecentre of worsted exports. Village commu- princes. Vith regional exceptions,they tended ro be weaker in areas of niriesremained strong, and it was not until the later eighteenthcentury that Gutsherrschaft or effective absolutism, and strong rvhere landlords were their rigidities - among others - began to weigh heavily on the two great princes supported village powers weak or local in exchangefor fiscal and \rViirttembergindustrial regions,contributing to industrial stagnarion,tech- administrativesupport.Ta nological backwardness,and a failure to adapt to the challengesof cotton The cost advantagesof weak communities are shown by the concentra- and mechanization.80In many regionsof Germany,therefore, the powers of tion and vigour of industry in Saxony and the Rhineland, where village rural communities, like the powers of landlords, did not Dreventthe rise of institutions were often as weak as in England or the Low Countries. In export industriesbetween 1500 and 1800, but did constrain their develop- many parts of Saxony village communities began to weaken in the early ment. sixteenthcentury, and receivedlimle support from the state:settlement and rural factor markets began to operate relatively freely, and rural export industries proliferated.TsIn many areas of the Rhineland, as well, village communities appear to have been relatively powerless even before rural industriesarose in rhe sixteenthcenrury.T6 But in this, as in other aspectsof Industrv and urban societv their social organization,the Rhineland and Saxonywere exceprional. In other German industrial regions,village insrirurions were on rhe whole much stronger. Although they did not wholly prevent the rise of export Although rural industry grew enormously in significancebetween i500 and industries,they imposedcosts which had enduring effects.Thus in the linen 1.800towns retained a variety of important industrial functions,something 'the region of Ravensberg in Westphalia, Volfgang Mager identifies effec- not always recognizedin the theoriesof proto-industrialization,which tend 'rhe tiveness of the communal Markenwirtschaft' as one of two basic fac- to regard towns as simply the location of the merchants who organized tors of economic and social retardation', which 'lasted until the late the rural putting-out systems.8lTowns certainly did play the dominant role eighteenthor early nineteenthcentury'.77 The Markenwirtschaft was a com- in organizing the trade in industrial raw materials,food for the industrial munally organizedagrarian systemimposing a close regulation of land and population, and the products they manufactured, as well as in supplying labour markets as well as many other economic pracrices; and it was the capital to finance the gap between purchasing inputs and selling out- only graduallS in the course of the eighteenthcentury, that the Prussian puts. This was especiallythe casein Germany,where, although rural indus- state begin to permit infringements on it in Ravensberg.The forcible trial traders did arise, in most territories unril the late eighteenthcentury abolition of communal controls in the 1770s unleashedrapid industrial their illegal statuslimited their operarions(as we will seebelow). But towns growth, creating a proletarianizedlabour force before international linen were also where production rook place, especiallyfor certain industries demand fell, and giving Ravensbergthe industrial momentum ro survive and stages of manufacturing: for processesin.rolving expensive raw mat- until mechanization became possible in the 1850s. In the neighbouring erials,such as silk, urban location reducedembezzlement; for those requir- linen region of Osnabrick, by contrast, the prince-bishopsmaintained the ing a highly skilled labour-force, such as weaving fine woollens, towns Marhenwirtscbaft until c. 1810; this constrained industrial growth and, in facilitated training and monitoring; for those requiring rapid response to 'Wolfgang changes the view of both Mager and Jiirgen Schlumbohm, helped to set in fashion, such as dyeing and rextiles, towns eased Osnabriick on the path to de-industrialization.T8 information transmission;and for those using large piecesof capital equip- In the German South,communiries were notoriously strong until well into ment, such as calico printing, towns provided a central location. Finally, the nineteenthcentury, restricting marriage and sertlement,regulating mar- they functioned as wealthy and concentrated pools of consumption and kets in most commodities, and enforcing the privilegesof rural guilds.Te demand, and thus as important markets for rural production. Because Although these constraints increasedcosts and reduced flexibility, they did towns played this range of essential roles in early modern industry, urban not altogether exclude the growth of domestic industries where other local institutions affected industrial costs. Germany,1630-1800 The beginningsof industralization

Originally, basedon the examplesof England and the Low Countries, it customers, and did not resist new techniques and new production pracrices. was argued that proto-industrialization led ro the breakdown of urban Sometimes it is even claimed that guilds positively benefited the economy, industrial institutions: the powers of towns over the countryside,and the through overcoming capital-market imperfections, maintaining quality legal privileges of guilds and merchant companies.82But subsequent standards, defending intellectual property rights, guiding and supervising research has shown that the English and Low Countries pattern whereby the production process, and providing a low-cosr framework for industrial urban institutions broke down at rhe same time as industrial regions conflict resolution.8eTheoretical speculationssuch as these,about the neu- emergedin the sixteenthcentury was the exception,not the rule.83The only tral or even beneficial economic effects of guilds, can only be investigated areas of Germany in which the industrial privilegesof towns, guilds, and through concrete, micro-level empirical researchinto the activities of partic- merchant companies played as little role as in the Low Countries and ular guilds in particular industries.Such research has, as a rule, not yet been England were parts of the northern Rhineland, especially the county of carried out. Moers (around Krefeld) and the duchy of Jnlich. The enormouslysuccessful Available studies of German industrial regions, however, do provide cer- linen and silk city of Krefeld had no institutional powers over rhe counrry- tain indications that the effect of guilds and merchanrcompanies, even 'liberal' side,and its industrial producersand merchantsenjoyed no corporate privi- in the relatively Rhineland industries,was ofren far from positive. leges.This was partly becauseof Krefeld's quasi-villageorigins (with a Thus, for instance,the Remscheidscythe smiths'guild successfullyresisted population of only about 600 in 1550), and partly becauseit was ruled by the introduction of water-driven scythe hammers in the eighteenth cen- the Dutch princes of orange according to laissez-faire ecooomic policies rury.e0The cutlery-makers' guild resistednew techniques,resulting unttl 1702. Krefeld merchanrs only began to obtain monopolies and privi- in technological backwardness compared to western European competitors; legesduring Prussian rule in the eighteenth century.saThe nearby duchy of bitter corporate conflicts further contributed to its stagnation toward the ' Jiilich had a constiturional tradition of Gewerbefreibeit (freedom from end of the eighteenth century.el Attempts by Briigelmann, a Valley guilds),which attracredentrepreneurial Protestant to Monschau in merchant, to set up the first English-style spinning mill in Germany in 1782 the sixteenth century, rurning it into the foremost fine woollen centre in confronted huge opposition from the lfuppertaler Garnnahrung and the Germany. Not unril the mid-eighteenrh cenrury did producers seek to estab- rural weavers' guild; eventually he obtained a state monopoly concession, lish guilds; the merchants responded by establishing the so-called Feine but built the mill outside the \fupper Valley. As late as 1.792, the Gewandschaft, a corporate group which opposed the producers, lobbied Garnnahrung was prosecuting one of its members who tried to set up a rib- the state, and tried to limit entry ro the trade.8s bon manufactory in Alsace.e2Thus the continuing importance of corporate 'proto-industrialization' But this relative lack of urban industrial regulationsand corporate privi- privileges during both and early factory industrial- leges was exceptional, even for the Rhineland. The woollen industiy of ization probably did contribure to the industrial backwardness of even this Aachen stagnatedin the eighteenthcentury until guild restrictionson pro- most'advanced'of Germanindustrial regions in 1800. duction were removed in 1798, while neighbouring Burtscheid, *hor. In Saxony, too, urban and corporate privileges dogged the expansion of guilds had declined in the seventeenthcenrury, flourished.85 In the wupper industry between 1600 and 1800. Until the Thirty Years'War,linen-weav- Valley, the dukes of Berg in 1.527 granted state privileges over bleaching ing was in many areas an urban monopoly; most linen was sold through and trading linens to a powerful merchant company, the notorious collective Zilnfthiiufe ('guild purchases') made by foreign merchant-houses, wuppertaler Garnnahrung, which was still regulating the regional textile particularly those of Nuremberg. Only in rhe course of the seventeenthcen- industry in its own interests in the late eighreenth century. So effective and tury did Saxon linen production shift decisivelv to rhe counrryside.e3Even so onerouswere the Garnnahrung privilegesthat the rural linen-weaversset then, towns and guilis successfullyasserted control ou., -"ny aspectsof up their own rural guild in 1738, which attemptedto regulaterhe industry production, not only for linen-weaving but also for lace- and trimmings- in its members' inrerests until abolished in 1783 through Garnnahrung making, ribbon-weaving, and the emerging corron industry. Thus new opposition and army intervention.8TSimilar rural guilds were establisheJ regional guilds were formed among the makers of trimmings and lace in the elsewherein the duchy of Berg, by producers of cutlerL scythes,and small Erzgebirge-Vogtland in the late seventeenth and early eighteenrh cen- iron wares in Solingen and Remscheid; new guilds were still being formed turies.eaThe urban ribbon-makers' guilds of Lusatia obtained a state ban as late as the 1750s.88 on ribbon mills, so strictly enforced that its repeal in 1765 was followed by It is sometimes argued that guilds in reality often failed to impose effec- a boom in rural production; again, this suggeststhat the guild regulations tive economic regularions: that they admitted outsiders freelS did not had exercised real - and negative - economic effects on rural production.e5 impose low wages on their employees, did not place constraints on the The emerging Vogtland .otron industry permitted ,ural spin.rers, but work of women or youths, did not restrict output or impose high prices on retained weaving as a closely regulated urban monopoly throughout much oi industralization 289 288 Germany,1630 -1800 The beginnings

in the late seventeenthc-rr early of the eighteenth century, so that as late as L786 two-thirds of linen-weavers'guilds lost their monopolies But rural spinners workers in the region around Plauenwere still guilded.e5 cishteenthcentury, and rural guilds did not arise.l10 and (inspec- But it was the trade in industrial output that was particularly closely ."!"n.., were obliged by law to sell yarn and rvool through Leggen export trade into legal monopolized in Saxony by cities and guilds. Rural producers were legally tion offices) in the towns. This turned the linen a as , obliged to sell their output through the towns and the urban merchant .onopoly of urban merchants;in some towns, such the linen guilds in most Saxon industrial regions until the early nineteenthcentury; m.rcf.rnis establisheda privileged company'1r1lv{ost of the Westphalian into the although illegal rural traders naturally emerged,their operationswere lim- Lesg.enwere srrengthenedby princes in the 1770s, and survived 'informal ired by the risks and penaltiesof having to trade in the sector'.e7 nine"teenrh century.112 Although there was some rural smuggling, producecl the Yet it was not the privilegedurban merchantsof and Lobau but ille- Schlumbohm has estimatedthat the maloriry of linen between gal village traders who in the 1770s'promoted the shift away from linen 7770s a1d rhe mid-nineteenth century in the prince-bishopric of work to cotton'in Lusatia.and after 1800'ventured into mechanicalcot- Osnabrrick, for instance,passed through the Legge.lll The successfultran- 'merchants' ton spinning'.e8In the Vogtland, rival guilds of cotton and sition ro factory industry in the county of Ravensbergaround 1850, while 'manufacturers' were founded in 1764, bitterly contestedall changesin the other Westphalian linen regions (such as Osnabrijck) de-indusrrialized,is industry for the next 50 years, and retained valuable privileges until the ascribedpartly to the lessthorough enforcetnentof the Legge, permitting 1840s. A state monopoly was still in force in 1805, and it was not until black-maiker operarionsby illegal rural traders.lla Even so, the privileged after 1817 that the structure of corporate privileges in the Vogtland cotton company of linen merchanrs in Bielefeld delayed mechanization for industry begangradually to be dismantled,permitting successfuladaptation dccades,and boycotted the first spinning mill in 1852; the secondmill was to English competition.ee establishedin 1856 only with srateassisrance and foreign managers.ll5 In neighbouringThuringia, in which a number of industrial regionsarose In Wurttemberg, urban privilegestook a different form: towns had few and between 1600 and 1800, towns were less powerful than in Saxong but powers over the countryside, but privileged merchant ,companies iregional' rural guilds appear to have been more widespread.Until the later eigh- (urban-rural) guilds exercisedmonopolies over both urban and were teenth century,guild organizationsdominated some or all stagesof produc- .,rol i.rd,.rrtry. In the Wijrttemberg Black Forest, worsted weavers tion among the small-iron-goods-makers in the principality of organized into district-levelguilds with equal jurisdiction over both town Schmalkalden,r00the gun-buildersof Suhl,101the knife-smithsof in an*dvillage producers, rvhich closely regulatedevery aspectof production 1650 the Thuringian Forest,r02the toymakers and slatemakersin the Meininger ,"... not abolished until long into the nineteenthcentury. From "nd com- Oberland,l03 the stocking-knitters in the duchy of lVeimar,10aand the vntil 1797, weaverswere obliged to sell all their cloths to a privileged at worsted-weavers in the Obereichsfeld.l05Thuringian merchants also pany of merchant-dyers'the famous Calwer Zeughandlungsko.mpagnie, real eco- formed companies which enjoyed monopolies and other state privileges ii*.d quota, a.,d p.i..r. Bitter corporate conflicts attest to the fact that they over export industries,such as the company formed in 1,710in the weapon- nomic effectivenessof both guilds and company, and to the if anything, making industry of Zella and Mehlis in the Thuringian Forest,106or that did not provide a framewort fo. peacefulconflict resolution; rents for formed with a ducal privilege in 1789 over the toymaking industry of the they may have increasedindustriaiconflict by creating monopoly the Meininger Oberland.107Again, these corporate organizations had real eco- different groups to struggleover.116 Funher east' on the Swabian Jura, were nomic effects. Far from providing a framework for rapid resolution of linen-weaversin the disiricts of Urach, Heidenheim, and Blaubeuren 1790s were costly economic conflicts, guilds themselves generated bitter struggles also organized into rural guilds until 1828, and until the similar conditions within industries:guild conflicts, for instance,contributed to the decline of obliged io sell to privileged merchant companiesunder Although terri- the stocking-knitting industry of the duchy of Weimar between 1740 and to thor. prevailing in the Black Forestworsted industry.117 smuggling, the 1760.108Far from failing ro enforce restrictionson enrry inro practice or torial fragmentati"onand the proximity of Ulm facilitated only by the gen- volume of output, the Obereichsfeld linen-weavers' guild constrained economiJimpact of the company monopoliesis shown not fact that the Urach growth, as is shown by the fact that linen-weaving expanded in the erations of bltter conflict they evoked, but also by the price differentials Obereichsfeldonly when the guild monopoly was removed in 1780.10e and Heidenheim companieswere able to maintain clear 'free-market' Black Forest, both Given this long survival of town, guild, and company privileges,it is nor relative to rhe prices in Ulm.118In the 'advanced' prod- surprising that even in comparatively Saxony and Thuringia guilds and merchant .o-p"ny.ontrolled entry' output, employment, and industry was lessdeveloped in 1800 than it was in westernEurope. uct selection,prices, and-wages,and concertedlyresisted competition after about In the \Testphalian linen regions, too, the privileges of towns and urban new techniques,resulting in ihe decline of worsted production In the merchants cast a long shadow over industrial development. The urban I 1800 and a late and difficult transition to factory production.lle 290 Germany,1630-1800 The beginningsof industralization 297

Swabian Jura, company monopolies and state regulation prevented either which increasedcosts: monopolies (leading to output restrictionsand higher privileged company merchants or illegal rural traders from amassingthe prices);restrictive practices (entry barriers,labour-market regulations, pro- physical or human capital to become the agents of factory industrialization; hibitions on women's work); and resistanceto (or outright prohibitions on) thus, far from overcoming capital market imperfections, corporate organi- new techniques,new products, or new production practices. zations helped to sustain them. The region of Urach failed to shift to cotton The net effect of state support varied from industry to industry in or mechanize production, and was only industrialized in the 1860s by out- Germany. On the whole, however,the vast majority of theseattempts were side entrepreneurs.l20Only in the district of Heidenheim, where company costly failures, and many damaged other economic endeavours.lz4The regulation had begun to break down in the 1750s becauseof repeared Prussianprinces in particular are famous for their persistentand expensrve bankruptcies, was flexibility sufficient for a gradual shift into cotton in the to establishand protect luxury industries,especially in Berlin and '1,790s, artempts and to mechanical production in the 1830s; even here, the linen- . However, deeper research reveals the many costs these policies weavers' guild initially violently opposedthe shift to cotton.121To an even imposed on other local economic activitiesand on Prussia'sown Rhineland greater extent than in other areas of therefore, industry in possessions,and the inefficienciesand corruption they fosteredwithin the Wiirttemberg was stagnatingby 1800 partly becauseof the late survival of protected industries.l25Their successwas minirnal: not a single industrial guild and merchant privileges.l22 region developed in the central and eastern provinces of Prussia before 1800, and by the end of the eighteenthcenrury it was cotton, the one branch almost wholly neglectedby the state,which dominated Berlin'stex- tile secror.125So notcrious was the long, expensive,and futile record of Industrv and the statein Germanv royal support for the Berlin silk industry that the Comte de Mirabeau JJ wrote in the 1790s,referring to the successfulsilk factoriesof Krefeld in the 'Unhappy Rhineland, those [factories] if ever a Prussianking should love them.'127The Prussian pattern was repeated elsewhere.In Baden, srare German industry was also affected by the state. Traditionally, two dia- foundations of privileged 'proto-factories' in Pforzheim and elsewhere metrically opposed views have prevailed about the role of rhe state in the failed to flourish, while the neighbouring Black Forest, neglected by the growth of industry in early modern Europe. One view has been to take state, developedby 1800 into 'one of the most important German indus- mercantilistic industrial policies at face value, and assume that the grow- trial regions'.128The Thuringian Forest was one of the most important ing tendency for early modern princes to establish manufactories, subsi- glass-smeltingregions of Germany, if not of Europe, yet new glassworks dize industries, institute protectionist legislation, and set up elaborate establishedwith princely support in the early eighteenthcentury almost all structures of industrial regulation successfullyencouraged industrialization failed becausethey were set up without consideringfuel supplies.l2eBased between 1600 and 1800. In reaction against the many weaknessesof this on his survey of German industrial regions before 1800, Kaufhold con- view many economic historians, including the theorists of proto-indusrri- cludes: alization, have almost totally ignored the state, restricting its role to guar- 'When anteeing market transactions and occasionally helping merchants coerce the different industrial regions are inspected,it quickly emerges producers.123Neither view is wholly sarisfactory. IDThile early modern that the influence exerted on their development by cameralistic German princes' direct support of industry saw very mixed success,their support for industry was generally not high.... [Inl severalregions there indirect role, particularly in supporring (or breaking down) other instiru- was state support for industry, but although this strengthened tions. was substantial. the position of industrg it did not decisively influence it. Above all, however, Traditionally, accounts of the role of the state in early modern German absence of state support did not have a negative effect on industry - industry have focused on the attempts made by many German princes to if anything, the converse was the case. Several of the most important the support specific industries directly, in accordancewith the principles of cam- German industrial regions, such as those in duchy of Berg, county of eralism (the German variant of mercantilism). Where such protecrionist leg- on bank of the lower Rhine, in the Mark, and almost without state islation freed industrial producers from taxation or conscription, granted all the linen regions, developed assistance,or with very be stressedthat them subsidies,or enforced lower-than-market prices for their labour or raw little. In summary. it must if one subtracts irom picture of. early materials, it could lower rheir costs relative to those of less favoured pro- the state componenrs the modern German remain ducers, and enhance their ability to compete, at least industrial regions ... its basic lineaments in the short term. But unchanged.l3o in most cases, such cost-reducing privileges were combined with others The beginningsof industralization 293 292 Germany. 1630 -1800

a period of centuries in lobbying the state to enforce and But although purposeful stateintervention in industry seldom succeeded, resourcesover privileges;when the merchant.companiesbecame unprofitable srateactivity for non-economicpurposes had massiveindirect repercussions ;;;;;Jtheir tolught to dissolve themselves,they encountered enormous on many German industries. The annexation of Silesia by Prussia in i. rfr" rZgOr "nd Ii the Wupper Valley of the Rhineland, the state issued 1740-2 set in motion a re-equilibration of the linen industry not just in ,','* opporirion.l3s privileg., oiboth the Vuppertaler Garnnahrung and the Silesiaitself, but also in neighbouring Saxony and Bohemia, with lasting ..f"...d the ".,J guild; gou.tnment support for c_orporatismdid not repercussionsfor the whole'linen triangle'.131The industriesof the north- iuiul lin.n-*eavers' 178bs.t3eThe Leggen and urban merchant privi- ern Rhineland were similarly disrupted in the 1790s,when much of the left ;;;lr ,o wane until t"he linen industries, and the privileges of Saxon mer- bank came under Frenchadministration.l32 Most important of all, however, ;;; t, the Westphalian exports, also relied heavily on state was statereinforcement or weakeningof other social institutions.Especially .l'r., guilds ou., industrial 'War in Westphalia, the state supported these privileges, from the Thirty Years onward, government was impossible in most where, as "r",io...ir..,,: until the mid-nineteenth century; where, as in parts of Germany without the co-operationof other institutions:the central ;;;; ;;;. effectively enforced them, rural black-market trading became a scategranted and enforced the privilegesof landlords, village communities, Surony, it sought to redrr.e which favoured factory industrializa- towns, guilds, and merchant companiesin tacit exchangefor their co-oper- sourcs of entrepreneurialflexibility ation in taxation, state borrowing, conscription, regularion, and suppres- rion from the 1780sonwards' state did not become powerful enough to sion of domesticdiscontent.l33 In most Germany territories the of traditional institutions - landlords, The role of German princes in sustaining and shaping the powers of l.g- ro dispensewith the support and merchant companies- until, at landlords and village communities is evident in the developmentof many .oi-,rnuni,l.s, privilegedtowns,-guilds, century. In Saxony, for instance' German regions.In the central and easternPrussian provinces, the landlord ."rli.rt, the iast decJes of the eighteenth which made possible the gradual powers under Gutsherrschaft, which prevented the rural population from i, *", ifr. growth of central state power guild privileges.In the Vogtland engaging in industrial activity, derived their strength and longeviry from wirhdrawal of staresupporr for town and beganto remove'the prohibi- statesupport. The control of the Silesianlinen industry by feudal landlords, it was nor until 1817ilar the government which had hobbled comPetition endowing it with irs extraordinarily low and competitive labour costs,was ,io.,r, -onopoly rights and restrictions' It was not until the 1840s that it only possible becauseof state support for Gutsherrschaft during and after and mechanizationin the cotton industry. to neutralize the guilds.la0 In the'second serfdom'. From the 1750s on, rhe Landscbaft (a state credit L.."*. politically possible in Saxony state which enabled the institution) channelled almost all available capital in Silesiato the feudal w.rtph"ll^ it *as tire strength of the Prussian in the L7701, which in turn landlords, thereby depriving industry of investment funds. The ^gr"ii"n reforms in the couniy of Ravensberg regional linen industry to achieve Hohenzollerns also prohibited linen mechanizationin order to prorect the .i."t.d the industrial momenrum for the powerful states,,suchas - in profits landlords derived from their feudal powers over serf weavers.l3aThe factory industrialization in the 1850s. Less jiff.r.nr - of Osnabriick in lyestphalia or stance of the prince was also importanr for the powers of landlords and u.ry ways the prince-bishopric more dependenton local peasant communities under Grundberrschaft. ln rWestphaliathe differing the duchy of Wtiittembe.g ln the South remained traditional institutions did not policiesof the Hohenzollernsand the prince-bishopsof Osnabriick toward interests into the nineteenth century, and manorial controls and the communal Acker-Merken-Wirtscbafi led to begin to break down until after 1800. led to rising public expendi- divergent agrarian developments in Ravensberg and Osnabriick, with Th. gro*th of the early modern state also demand.In rheory this could have enduring repercussionsfor their linen industries.l35In Wiirtremberg, it was tures, riaking rhe starea major sourceof the demand pull of state expen- their symbiotic relationshipwith the sratethat susrainedthe powerful local had rwo effeits on industry. On one hand, (unemployedlabour, hoarded capi- communitieswell into the nineteenthcentury.135 ditures could have drawn idle resources have occurred if the resources Urban and corporate institutions, too, could exercise morc effective tal) into productive use. But this would only courts were previously lying internal regulation of industries with stare support, even while their used for armies, fortifications, and princely away resourcesalready being external powers were being surpassedby those of the stare.137Guilds unused.If not, then statedemand simply took deprived of these resources and merchant companies were increasingly concerned during the early used in orher productive activities; the sectors Both mechanismsare modern period to gain state charters and government enforcement, and would have been harmed rather rhan stimulated.lal in early modern Germany in return delivered taxes, loans, bribes, political support, and fiscally theoreticallypossible. Which one predominated useful surveillance of industrial output and trade. In \Wtrttemberg, can only be answered empirically. empirically, if the demand of the the guilds and merchanr companies which monopolized different stages of Whai would o.r. .*p... to observe rather than crowding the export-orientated linen and worsted industries expended enormous growing German ,tut.r did mobilize idle resources Germany,1630 -1900 The be ginnings of industralization 295

out existing uses for them, and thus did contribute to industrial growth? that from the mid-seventeenthcentury onward people in parts of Most evidence _sratespending was for military purposes,so one might expect the Europe (particularly England and the Low Countries) were indeed consum- most highly militarized German territoiies-to have had the Tiveliestindus_ market-produced goods. This tendencycan also be observedin tries. Accordingln ing nrore -prussiaprovides most of the examples GJrmany, although it appears to have accelerated only in the eighteenth a.dducedin support of the view th"t ,t"t. demand stimulatedearry industry: (as discussedin Chapters 4 and 11 of this volume). There is also the K.cinigliches century Lagerhau.s,a rarge textile manufactory established ,o ,up- evidence that more German people were engaging in market-orientated ply the army in 1713; the Moniierungs-Regrement oi tzt+, *ti.r, srimu- alrhough a large proportion of agrarian and industrial produc- lated raw-wool production, production.and heau!-.oJlen-weaving by' ordering that iion (particularly east of the Elbe) continued to be absorbedby the house- only domestic cloth should be used for military uniform"s; th. hug.ly"prof- hold, the community, and the feudal economy, and not to reach the market itable Prussian armaments firms.Ia2 But, as we have arready seen, (asdiscussed in Chapter 3); when it did reachthe market, the many barriers Brandenburg-Prussia,a,v h!.the most highly militarized German rerrrory, to trade quickly made many wares too expensivefor the budgetsof ordi- was one of rhe leastindustrialized. Either miiitary spending ,i-fty crowded nary Germans.la3But the causalconnection between the growth in market- out other, productive uses for resourcer; or, _more if there was a orientatedconsumption and the growth in market-orientatedproduction is demand pull, it was nor powerful enough to do "uan more than foster a few, iso- still obscure: did production grow becauseconsumer demand grew (i.e., lated manufactories producing directly ior the army. becauseof changingtastes), or becauseproducers and merchantscould sup- But perhaps military (or court) spending by laige statessuch as Prussia ply ordinary consumersmore cheaply with desirablegoods (i.e., becauseof provided a market for industries in other G"r-"i territories?This seems changing technology and prices)?1aaMuch better empirical knowledge of unlikely' judging by the secroraldistribution of industrial gro*tn in early the links between industrial production and consumption in early modern modern Germany.If military demand played a stimulating iol., one wourd Germany, and Europe more widely, will be needed before we can begin to expect to observe growth in the iron sector, weapons manufacturing, and answer this question. It seemsfairly clear, however, that in so far as demand heavy woollen textiles for uniforms. However,as can be seenin Tabre 9.1, did play any autonomous role, it emanatedfrom ordinary consumers,espe- only one of rhe 39 Ge.rman ind_ustrial regions identified by Kaufhold (the cially those further down the social scale. There is little evidence that the area around Zella, Mehlis, and Suhrin the Thuringian Forest)dependei on state - whether the army or the court - played more than a peripheral role weapons production. Iron regions, part of whose output -uy h"u. b".., in providing markets for early modern German industries. If anything, state exported to manufacture armaments elsewher", -"d. up a minority of expenditures,by requiring high taxation, reducedthe disposableincome of German industrial regions. Much of the output of the most successfuliron ordinary consumers, thereby diminishing their ability to provide markets regions (such as those in the Rhineland) coniisted of small metal goods for for industrial wares. householduse. Heavy woollen cloths, which might have beenused for mili- In German industry between1600 and 1800, therefore,the stateplayed a tary^uniforms)-wereproduced only in three German industrial regions (the range of roles. Among these, probably the least important was its inten- Reul3region of Thuringia, and Mark and Berg in ttt. ntrin.t"nii, .u.r, tional, though not often effective, intervention to encourage industrial there were merely part of ".,a a broad palette of froducts. rh. ,"-. is true of enterprises. State expenditures grew enormouslS but provided no more court demand. If princely courts provided a crucial demand pull for early than isolateddemand stimuli for German industries,which dependedmuch industry, one would to observe ixpeci growth in luxury r.oitJ, iiin. -oot- more on growing consumermarkets at home and abroad. German statesin lens and silk) and furnishings (porce.-rain,glass, mirrorr, .loiir, -uri. this period were perpetuallyengaged in making war, taxing, capturing and boxes, and musical instruments). B.rt .o-p"ratively few German industrial losing territory, and enforcing cusroms barriers, and all of these activities regionswere based on_suchluxury producis. Instead,the greatestindustrial shapedthe international markets within which early export industriesoper- growth, in early modern Germany was in ch."p, liglit textiles (rinen, ated. But the principal way in which early modern German states affected worsteds, and ), and an enormous variety li rri"ll.. items (stock- industry was by helping to maintain and shape the various traditional insti- ings, gloves, caps, lace, trimmings, cord, braid, embroidery ,iru* h"tr, tutions which had such a wide-ranging impact on most German industries. toys, , 'When needles,wire, brushes, spoons, pottery, cutlery, and small iron these institutions did gradually become weaker at the end of the household goods) - which addressel neithir military .ro.'.o,r* demand, eighteenth century, it was often through the growth of the state rather than but the mass consumermarket. that of rhe market. In more casesthan not, industrial producers merely If. demand did play an autonomous rore in stimulating indusrry in early exchanged the monopolies, privileges, and regulations of traditional social modern GermanS therefore, ir came not from the state b-urfrom -"r, .orr- tnstitutions for a different set of non-market institutional constraints laid sumer markets, whether at home or abroad. There is a certain amount of down by the state; the thoroughgoing state regulation of industry remained Germany,1630 -1800 The beginningsof industralization

a distinguishingcharacteristic of the German path ro factory industrializa- 1800 still all but untapped); and favourable conditions for growing flax tion in the nineteenthcenturv.la5 and hemp. Although its coastline was restricted, it had five great navigable inland rivers, and a number of partly usablelesser waterways. The southern Imperial Cities lay on the great overland trade routes from the Mediter- ranean) and Leipzig and Frankfurt an der Oder mediated trade from east- Conclusion ern to western Europe. Germany'sindustrial backwardnessin 1800 cannot be ascribed, therefore, to lack of natural cost advantages.Moreover, as the early modern period progressedand trade expanded, German industries of local natural-resource The beginnings of industrialization in Germany, as elsewherein Europe, becameincreasingly independent endowments. also strongly affected by social are to be found not in the machinesand factories of rhe industrial revo- But industrial costs were institutions. these varied greatly from lution, but in the busy landscapesof small-scaleworkers in textiles, met- Owing to political fragmentation one German a generalrule, traditional institutions- manorial als, rvood, and glasswhich sprang up rhroughout the continent after about region to the next; but as village communities, privileged 1500. Indeed, the origins of industry musr be sought more widely still, in sysremswith powerful landlords, towns, companies - survived in Germany for a long time the proliferation of market-orienratedfarmers producing food surpluses, guilds, and merchant broken down in other parts of western Europe. Partly, this and the inventive diligence of small traders and large merchants in crear- after they had 'institutional hothouse' of the Thirty YearsWar (and ing markets linking consumerswirh producers of food and manufactured was owing to the the warfare that followed), during which repeated wares in specializedregions otherwise unknown to one another. This cenrury of almost continual forced German princes to grant and enforce privileges to process of regional specializarioncontinued and acceleratedduring the military crises institutions and groups within their societiesin exchange for fis- early modern period throughout Europe, inciuding in most parts of powerful cal, military, and political support. A large number of studiesshow that the German-speaking Central Europe. Yet, r,vhile in the sixteenth century costs and flexibility of industries in most parts of Germany were pro- German industries had been vigorous and imporrant, by 1800 Germany foundly affected by the privileges of traditional institutions to the very end as a whole was an industrial backwater. Some historians ascribe rhis to 'advanced' of the Old Empire. Even in the most areas - Saxony and the the depredations of the Thirty Years \Var, orhers to foreign factory com- Rhineland - traditional institutions did not begin to break down until the petition at the end of the eighteenth century. But the widely differing late eighteenth century. Even then, they tended to be replaced not by mar- responsesto these chailengesin different parts of Germany suggestrhat kets, but by a framework of state regulation. Elsewhere, they lasted long internal factors may have been more imporrant. This is borne our by rhe 'Westphalia 'proto-industrialization', into the nineteenth century, delaying industrialization in until German experienceof which did not follow a uni- the 1850s, and in S7iirttembergand Silesiauntilthe 1870s. In Bavaria and lineal development path, but rather showed enormous regional variation. most parts of Prussia the social institutions which had prevented the emer- Early modern industriai growth was disrribr.rtedvery unevenly across genceof industries in the period between 1500 and 1800 delayed factory early modern Germany. On one hand there were very high concenrrarions industrialization until the very end of the nineteenth century. As a conse- of industry in Saxony-Thuringia,the Rhineland, south-westGermany, and quence, the characteristicsof German industry in the early modern period - \Testphalia-Lower Saxony. On the other, there were wide expanses of its relative retardation, its regional variation, and its pervasive regulation Germany which rvere almost completely non-industrialized - in the far by corporate and state institutions - were mirrored, often in intensified North and East (especiallythe central and easrernPrussian provinces) and form, 'Why?'. during German factory industrializationof the nineteenthcentury.la6 in Bavaria. The crucial question is Empirical surveysreveal a num- 'location ber of facrors' which had to be presentfor an industrial region to emerge.But they yield little by way of a generalexplanation for the loca- tion and development of industries in differenr parrs of early modern Germany. A more promising approach is offered by consideration of the Notes costs of the inputs and transactions required by industries, which were determinedby varying natural and socialfeatures. I ,should like to thank Andr6 Carus, Dietrich Ebeling, Jeremy Edwards, l7olfgang Germany rvas by no means under-endowed with natural features favour- Mager, Hamish Scott, Tom Scort, and Bob Scribnei- iutto ti.tdly read and Com- ing industry. It had very significant metal ore deposits; considerable mented upon an earlier version of this chapter and made many useful and stimu- expansesof forest for fuel; some of the largestcoal deposirsin Europe (in rarrng suggestions, Germany, L630-1800 Tb e beginnings of industralization 'Above-average'refers ro the averagefor Germanyin 1800; for a more For a discussionof the workings of this processon rhe regionaland local 'Germany -the detaileddiscussion of the conceptof Geuterbelandschaften(translated in this level, see S. C. Ogilvie, and Seventeenth-CenturyCrisis', chapter 'industrial 'indusrrial as regions',but elsewheresometimes as coun- HistoricalJournal, 35 (1992), 417-4t; specificallyon its agrarianaspects' trysides'or'industrial. '),see Karl-Heinrich 'Consequences', indirect con-sequencesot the 'Gewerbelandschaften Kaufhold, seeKamen, pp' 52ff.; on the in der friihenNeuzeir (1650-1800)', in H. pohl,ed., war for German sotiety and-ihe growth of the power of tlte princes,see Gewerbe- und Industrielandschaften uom Spdtmittelaber bis ins 20. Chapters5,7 and 8 in this volume. (Stuttgart,1986), pp. 1,'1,2-202,heie pp. I72ft.; and ro competirionfrom cotton and mechanizationin GermanS lahrhundert Wolfgang-anJ 10 On iesponses 'Guildmaster', Mager, .'Proto-industrializationand Proro-indusrry: The Uses with somecomparisons with Switzerland,see \7olff, esp' PP. Drawbacks of Two Concepts',Continuity and Change, 812 (1993), -ofpp. 60-2; seealso Tipton, RegionalVariations, passim. 787-275, here pp. 181ff. Approaches roward the concept Mendelsinvented-rhe concept in his 1970 doctoral dissertation,later pub- 'rusrikalisierte 11 Gewerbelandscbaftencan be found in the concepr of lished as F. F. Mendels, Industrializationand Population Pressurein Industrie'('ruralized industry') developed by \)fernerSombart, Flanders(New York, 1981).A first versionof the con- Der moderne Eighteenth-Century 'Proto-industrializa- Kapitalismus, ii: Das europiiische Wirtschaftsleben im Zeitaber des ..i, ,""r proposedin a seminalarticle' F. F. Mendels, Friihkapitalismus,uornehmlich im 15., 17. und 18. Iahrhundert(2nd edn. tion: The Fitst Pha.. of the IndustrializationProcess', Journal of Economtc Berlin, 1915),esp. chs 47 and 54, as well as by other membersof the History, 32 (1972), 247-51. It was further elaboratedin F. F Mendels, GermanHistorical Schoolof PoliricalEconomv. 'Proto-industrialization:Theory and Reality, General Report', in Eigbth 'A' Seethe accountof theseprocesses in Jan de Yries,The Economyof Europe International Economic History Congress,Budapest 1982, Themes in an-Ageof Crisis,1600-1750 (Cambridge,19761, esp. pp.33ff.,94if., (Budapest,19821, pp. 59-L07, publishedin a revisedand expanded.French 'Des 149ff.; and Peter Kriedte, Peasants,Landlords and Merchint Cabitalrsts: versionas F. F. Mendels, indusrriesrurales i la protoindustrialisarion: Eulgpe and the.\Vorld-Economy, 1500-1800 (LeamingtonSpa, tlS3;. Historique d'un changementde Perspective"Annales E.S.C., 39 (1984)' lfilfried_Reininghaus,Gewerbe in der frilhen Neuzeit(, illO;, pp. 977-1008. 1.8-29;Kriedte, Peasants,pp. 32-9. W. Fischeret al., ed,s,Handbuch dir 1.2 P. Kriedte, H. Medick, and J. Schlumbohm,Industrialization before europiiiscbe.nWirtscbafts- und Sozialgeschicbte(4 vols, Srurrgart,1993), Industrialization:Rural Industry in the Genesisof Capitalisn (Cambridge, vols. iii and iv, provide basicsurveys on this subiectand the re*levantlirer- 1981),translation of the Germanoriginal, P. Kriedte,H. Medick,andJ. ature, as does F.-I(. Henning, Handbuch der Industrialisierunguor der Industrialisierung.Gewerbliche _ Wirtschafts- und Schlumbohm,'Warenproduktion SozialgeschichteDeutschlands, i: Deutschewirtschafts- und sozialgeschichte auf dem Land in der Formationsperiodedes Kapitalismus '1977). im Mittelalter und in der friihen Neuzeit(paderborn. 1991). (Gouingen, on the key role of rhe Upper German Free Imperial cities in the 13 For summariesof the various theoriesof proto-industrializationand the rrade 'Proto-industrialization betweenMediterranean and northernEurope, r..-He.mu.r' Kellenbenz,'Le ensuing debate, see S. C. Ogilvie, in Europe', d6clin de veniseet les relations6conomiques de Veniseavec les march6sau Continuity and Change,8 (19931, pp. 159-79, pp. 159-62; and S. C. 'The nord des Alpes', in F, Braudelet al., edi, Aspetti e causedella decadenza Ogilvie and M. Cerman, Theoriesof Proto-industrialization',in S. C. economicaueneziana nel secoloXVII (Venice,196'1.),here esp. pp. 135_5. Ogilvieand M. Cerman,eds, European Proto-industrialization (Cambridge, On the shift of rhe economic cenrre of gravity of i,ur^ope from 1996), pp. 1-rr. Mediterraneanro north Atlantic, see in generalde Vries, Economy, pp. 14 On the demographicramifications of proto-industrialization,see Mendels, 113ff.;and Kriedte,Peasants, pp.32-3,76ff. 'Proto-industrialilation',pp.249-53 andpassim; and Kriedte,Medick, and on the riming of Germanindustrialization relative to that of other parts of Schlumbohm,Industrialization, pp. 38 -93. Eu19pe,and its variation.amongdifferent German regions, 15 On the breakdownof traditional institutionsand their replacementby mar- 'Soll seeR. H. Tilly, 'Theory und Haben II: wiederbegegnungmit der deutschen\firtschafts- und kets, see Mendels, Industrialization,pp. 16, 2Q Mendels, and sozialgeschichte',in R. H. Tilln Kapital, staat und sozialerprotest in der Reality', p. 80; and Kriedte, Medick, and Schlumbohm,[ndustrialization, deutschenIndustrialisierung (Gi5ttingen, 1980), pp.228-57, herepp. 233-4; pp. 7-8, 13, 16-'1.7,22,40,105, 115, and 128. 76 'Proto-industrialization'; 'Theory F.B. Tipton, Regional,Variations in the EconomiaDeuelopment of-Germany Mendels, Mendels, and Reality'; Kriedte, during the Nineteenth Century (Middletown, Medick, and Schlumbohm,Industrialization. 'Economic Conn., 1975);'V. R. Lee. Developmentand the State in Nineteenrh-CenturyGermany'. t7 Althoughsee the earlycriticisms of the concePtof proto-industrializarion EcHR 2nd ser.41 (1988),pp. 345-67,here pp. 342-50;e. S.tvtilward and by hist6riansfrom borh Germaniesafter the pu6licationof Kriedte,Medick, S. B. Saul,The EconomicDeuelopment of ContinentalEurope, 17g0-1g70 and Schlumbohm,Industrialisierung, in 1977. From the former German (London,1973), esp. pp. 365ff. DemocraticRepublic: J. Kuczynski,Gescbicbte des Albags des deutscben 6 Kaufhold,'Gewerbelandschaften'.o. 173. Volkes(4 vols,'Berlin,1981), ii, esp.pp. 97ff., 105,llgfL;Helga Schultz, 'The 7 Seee.g. H. Kamen, Economii and SocialConsequences of the Thirry "'Proto-industrialisierung"in der Manufakturperiode:Der Gegensatzvon .\D7as 'Die Years War', JMH 29 (1968), pp. 44-61,;F. L. Cariten, There an Theorieund Empirie',J6WG 0.979),p. 4, pp. 187-95 HelgaSchultz, Economic Decline in Germany before the Thirty Years rWar?,,English Ausweituns des Landhandwerksvor der industriellen Revolution' Historical Reuieu, 71 (1955), pp. 240-7. BegiinstigeideFaktoren und Bedeutungfnr die "Protoindustrialisierung"', 'Guildmaster K. H. I7olff, into Millhand: The Industrializationof Linen and lbWG \7982), p. 3, pp. 79-90; Helgi Schultz,"'Protoindustrialisierung" und Zeitscbrift !^ot1o^nin Germanyto 1850', Textile History, I0 (1979), pp. 7-74, pp. Ubereane..Do.h.vom Feudalis*lu.,,r- Kapitalismus', fi'ir 1.8-20. Geschichiwiseischaft,3i(1983), pp. 1'079-91.From theFederal Republic Germany,1630 -1.800 Th e b eginnings of industralization 301 'Proto-Industrialisierung: of Germany: H. I inde, zur eines Justierung Protectionist le€islation could sometimes reduce cosrs, in so far as neuenLeitbegriffs der sozialgeschichtlichenForschirng', (19d0), 37 ir pro_ '103-24; G?i 5 pp. vided tax breaks, subsidies,state loans, or regulations keeping input E. Schremmer,'Industrialisierungvor .Jir Indusrrialisieiung. costs artificially low. However, in so far as it established and s.upporredmonop- Anmerkung-en er^n:mKonzept der protoindustrialisierung,'GG 6 (19g01, 1u .proto-industrialisation: olistic privileges, protectionist legislation increased cosrs by enabling exisi- pp. 42048; E. Schremmer, C Sreo Towards ing producers to restrict ourput, maintain higher prices, prevent the Industrialisation?',JEEH 10 (1981,r,pp. 553-70. Seealso rhe scepricism employment of women, youths, and new entrants, and block the use of new abour the rheories of proto-indusriiilizarion expressed 'Gewerbelandschaten', by xaufhold, rechniques and production practices. For a detailed discussion of these esp.pp. 187 l9G, lproto_indus_ , 202; andby Mager, and an assessmentof the net effect trialization',pp. 181-8. issues, on industrial costs and develop- ment, see pp. 290-5 below. 18 For a summaryof researcho_n demographic behaviour in German proto- The dependence of early modern industries on narure is discussed industrial regions,see s. c. ogilvie, ;proto-industrialization 38 in in Germany', Reininghaus, Gewerbe, pp. 1lff. One of rhe most importanr in ogilvie and Cerman,eds, proto-industriulization. German European pp. 1rg-i6, to the proto-industrialization herepp. 126-9. conrributions debate also sfresses the technical requirements of different industries, producrs, and operarrons, 19 For a recenrsurvey of the criticismsof the theoriesof proto_industrializa- 'Proto-industrialization and the influence these exerted on the location, organization, and de- rion, seeogilvie, in -z; 'Theories', Europe',pp. ieo ogilvie and velopment of proto-industries: see Mager,'Proto-industrialization', Cerman, pp. 7-I1; .proro- pp. and S. C. Ogilvie-and arid tvt. Cermai, 188ff. ind'rstrialization,Ecoromic Development Social change in Early 39 Kaufhold,'Gewerbelandschaften',pp. 1,75-6. Modern Europe',in ogilvie and ceiman, eds, proio-industriai- 'Gewerbelandschafren', European 40 This is alsothe conclusionreached by Kaufhold, p. ization,pp.227-3.9. one exampleof a Germanregion which continuedto 193, where he points out that although some German industrial regions beproro-indusrrialis rhe areaaround Nuremberg (rihictr remaineda.proto- were raw-material-oriented,as time passeda substantialtrade in raw industrial rggion',for mate- more rhan four centurie"s);see e.g. rfolfgang von rials, fuels, and half-finishedproducrs Srromer,'Gewerbereviere protoindustrien developedamong different German und in Spd"tmittela'lterund regions. Friihneuzeit',in Hans Pohl, ed., 'Europdisches Gewerbe-und Industrielandschaftenuom 41 SeeH. Kellenbenz, Eisen.Produktion - Verarbeitung- Handel Spiitmittelaberbis ins 20. Jahrhunderl (Sturtgart, 19g6\, pp. 39_1i1. (vomEnde des Mittelalters bis ins 18. in H. Kellenbenz, SeeOgilvie, 'Proto-indusrrialization Jahrhundert)', ed., ?0 in Europe',p. Ve . Schuterpunkte der Eisengetainnung und Eisenuerarbeitung in Europa, 21 Regionalvariation in Germanproto-industri alizZtion is discussedin detail 1500-1550 (/Vienna,1.974), pp. 397-452; rhe in Ogilvie,'Proto-industrialization importanceof fuels in Germanv'. in particularis emphasizedby Mager, 'Proto-industrialization',p. 1,99. 22 Theseare identifiedby Kaufhold,'Gewerbelandschaften', pp. 113-14, as +L Reininghaus,Gewerbe, p. 20. causesfor the 'unsatisfaclory' state of researchon early'-oaa.n German 43 Kellenbenz,'EuropdischesEisen'; industry. Kaufhold,'Gewerbelandschaften',pp. 171.-3;Reininghaus, Geuterbe, pp. 11, 18-20. z3 Ibid., pp. 714-15. 44 Kellenbenz,'EuropdischesEisen'; R. Stahlschmidt,'Eisenverarbeitende z+ Ibid., pp. II9-124. Gewerbe in Sid- und Westdeutschland.Ein Forschungsbericht',in W. 25 Ibid., pp. 142-3, 148. Kroker and E, Wesrermann,Montanwirtschaft Mitteleuro\as uom 12. bis 26 Ibid.. o. 176. 17. Stand,Wege und Aufgabender Forschung(Bochum, 1984); 27 Ibid.,'p. 174-5. Jahrhundert. Reininghaus,Gewerbe, p. 19; Kaufhold,'Gewerbelandschaften', pp. 131, 28 Ibid., pp. 175-8. 140-1. 29 Ibid., p. 179-8t; rhe samefinding emergesfrom casestudies of German 45 Reininghaus,Gewerbe, p. l!. p^roro-indusrrializarion, 'proto-indusrrializarion assummarized in ogilvie, in 46 lbid., pp. 11, 43-4; F. Lerner, Geschichte des deutschen Germany', -.for Glaserhandwerks p. 131, and rhe 15th..r,ri.y - from the recenr,"ru"y of (2ndedn., Schorndorf, 1981). puttrng-out systemsand large industrial concernsin Germany bv Rudolf 47 Kaufhold,'Gewerbelandschaften',pp. 182, 792. Holbach, Friihformen uon Verlagund Grossbetriebin au Cr*'rriilrtrn 48 Fritz Schulte,Die Entwicklung der-gewerblichenWirtschaft in Rheinland- Produktion(13.-16. Jahrhundert)(Srumgart, 1994). Westfalen im 18. (Cologne, 19591, pp. 25f.; Kaufhold, 30 Kaufhold,'Gewerbelandschaften', 'Gewerbelandschafren',Jahrhundert pp. tEe-7. p. 155. 31 Ibid., p. 787. 49 Despitethe costly Prusiianstare policy of encouragingthe culrivarionof JL Ibid. mulberry treesand rhe breedingof silkworms,so little raw silk was pro- JJ Ibid., pp. 188-90. duced in Germany char it was wholly wirhout economicsignificancei see Ibid., pp. 'Gewerbelandschaften'. 34 191-3. Kaufhold, o. ig: n. :Sg. Ibid., 35 pp. 197-5. 50 Reininghaus,Gewerbe, p. Zl;lVoiff, 'Guildmasrer',pp. 15-18, esp.maps 36 Although-land could be switchedfrom one crop to the other in a comple- on pp. 16-17. \westphalian mentaryfashion, as in the counryof Ravensbere.*he.e fai-- 51 Ibid., p. 36. e-rscultivated 'w borh grain for food and flax for the locat linei indusrry:see 52 E' Harder-Gersdorff,'Leinen-Reeionen im Vorfeld und im Verlauf der Mager, 'Protoindustrialisierung . _und agrarisch-heimgewerbliche'Ver- Industrialisierung(1780-l 9L4)',-in Pohl, ed., Geuerbe-und Industrie- in "srudier, {echg.ung -Ravensbergwdhrend der Friilien Neuzeit. ,u ein.. landschaften,pp. ZO:-S:; A. lfarden, The Linen Trade, Ancient Gesellschaftsformationim Ubergang',GG (1982), J. 8 435_74. and Modern (London, 1854; repr. London, 1967)1' Kaufhold, Germany,1530 -1800 The beginnings of industalization 303 'Gewerbelandschafren',. pp. 124, 1.82;Reininghaus, Gewerbe, pp. 27_g; view in general, see Kriedte, Medick, and Schlumbohm, 65 For this 'Die Mager,'Proto-industrialization',p. 189. lndustrialization,pp. l8ff ., 29; on Silesiain particular,see U. Lewald, 53 Reininghaus,Gewerbe. pp. 23-6. Enrwicklungder lendlichenTextilindustrie im Rheinlandund in Schlesien', 54 v- Barkhausen,Die Tuchindustriein Montioie,ibr Aufstiegund Niedergang Ostforschung,l0 (7967), pp. 501-31' here esp' 606-9. Zeitschrift filr 'feudal (Aachen,1925);H. Kisch,Hausindustrie und kxtilgewrril, o* of the variousways in which proto-industries'depended Niederrbein 66 For details 'Silesia uor der Industriellen Reuolution. von der ursprilnglichen zur kapitalistis- on the strength,not the weakness,of landlord Powers,see Kisch, chenAkkumulation (G6ttingen, 1981), pp. Z8'0-9e. and the Rhineland',pp. 1,79,180-3,185, 198 (explicitlytaking issue with 55 Reini-nghaus,,Gewerbe,, p. 25; Kaufhold,-Gewerbelandschaften',p. 1.36; on the argumentsof Lewald);My5ka,'Proto-industrialization'. 'silesia the viirttemberg Black Forestindustry, and its dependencealmost from the Kisch. and the Rhineland',pp. !82-7; Tipton, RegionalVariations, 'Walrer- 67 'Guildmaster', beginning on raw wool imports, see Troeltsch, Die Calwer pp. 18-20; Wolff, pp. 20-3. und ihre Arbeiter (,"t897),pp. 'silesiaand the Rhineland',p. 187. lguqlqndlyytsskompagnie 35, 3g, 47, 68 iiisch, 'Proto-Industrialisierung 98-102,153-6. 69 On Krefeld,see Peter Kriedte, und grol3esKapital. 56 difficulrieswirh respecrro river transportarion, Seidengewerbein Krefeldund seinemUmland bis zum Endedes Ancien 9.L. YI'T"Tbergs'Die see Das wilhelm soll, staarlichevirtschaftspolitik in wiirttemberg im 17. und Regime',A-rchiu filr Sozialgeschichte,23(1983), 219-66,.here pp. 257-8; 18.Jahrhundert' (Ph.D. diss., Univ. of Tribingen,1934), pp. it-,t2, ZZ_+, on rwo villages in Leicestershirein England, see David Levine, Farnily 98. in-an Age of NascentCapitalism (New York/London,79771; on Fonnation 'Arbeit, 57 Mager,'Verflechtung',pp. 442, 444-6, 465. Switzerland,see A. Tanner, Haushalt und Familie in Appenzell- 58 Kisch, HausindustriellenTextilegewerbe, pp. 281-2; quorarion from Au8errhoden.Verinderungen in einemlendlichen Industriegebiet im 18. und Jory,him Kermann, Die Manufakturenim ilheinland 175b-1933 (, 19. Jahrhundert',in J. Ehmerand M. Mitterauer,eds, Familienstruktur und 1972),p. 145. ArbZitsorganisation in landlich en Ge sells cbaften (Vienna, 7985)' 449-94- 'Verflechtung', 'Spenge 18- 59 Kaufhold,'Gewerbelandschaften',p. 195. 70 Mager, pp. 443,447-9; Y Y"g9., vom frihen 60 Before 1804, the Holy Roman Empire consistedof some 3g4 separare Tahihundertbis zur Mitte des 19. Jahrhunderts',in'W. Mager, ed., sovereignjurisdicrions, excluding the c.1,500 sovereign.rtat.r oi F.e. beschichteder StadtSpenge (Spenge, 1984), pp. 162-3. The samecontrasts of Ravensbergand neigh- lmperial Knighrs; seethe recentsurvey of the scrucrurJof the Empire in are drawn by Schlumbohmin his comparison 'AgrarischeBesitzklassen und lqlf c. Gagliardo,Germany under the Old Regime,1600-1790 (London, bouring Osnabriick: see J. Schlumbohm, 1991). ge*erbiiche Produktionsverhiltnisse:GroGbauern, Kleinbesitzer und 51' This was..stronglyemphasized for Europe as a whole by Mendels,.proro- Landloseals Leinenproduzentenim Umiand von osnabriick und Bielefeld industrialization',and Kriedte,Medick, ind schlumbohrr.,Industrialization: wdhrend des fri.ihen 19. Jahrhunderts',in Mentalifiten und Lebens- for a systematiccriticism of rhe under-emphasisof rheoriesof proro-indusi uerhrihnisse.Rudolf Vierhaus zum 60' Geburtstag (Gottingen'.1'?821, 'proro-industrializatron 'seasonal trializarionon urban cenrres,see M. ceiman, in 375-34, here p. 334; J. Schlumbohm, Fluctuationsand Social an Urban Environmenr:Vienna, 7750-1857;, Continuity Division of Labour:Ruial Linen Productionin the Osnabriickand Bielefeld and Change, - 8/2,(1,9931,.pp.281-320., esp. pp. 281.-7.While Kaufhold, .Gewerde- Regionsand the Urban l7oollen Industry in the Niederlausitz,ca' t70O in lanoscnarten, contrrms rhe growing importanceof rural industriesin ca. 1850', in M. Berg,P. Hudson, and M. Sonenscher,eds, Manufact-ur.e Germanybetween 1550 and_1800 tssi, he alsowarns Totanani Country iefore the Factory(Cambridge, 19831, pp' 92-t23, here 1p. againsrroo nar- 'From row an emphasison rhe rural ar the expenseof the urban locition of indus- p. 1,21;J. Schlumbohm, PeasantSociety to Class Society:-Some try (p. 187). A.p..ti of Familyand Classin a NorrhwestGerman Proto-industrial Parish, (1992), pp. 183-99' 62 For a usefulintroducrory account of the agrariansysrems of differentearly 17ih-i9th Centuries',Journal of Family History. 17 the break- modernE_u-roFean societies, see De Vries,E-conomy,'pp.47-g2,on Germany herepp. 1,87,1.97. A definitive.workon the whole Processof esp.pp. 55-7 and 59-63. down of the Acher-Marken-wirtscbalris SrefanBrakensiek, Agrarre_form 63 Mendels,.'Theoryand^Reality', p. 80; Kriedte, Medick, and Schlumbohm, und liindliche Gesellschaft.Die Priuatisierung der Marken in Nordwest- 'l,G-"!-7,-40; 'Gewerbelandschaften', -L85b in Stefan Industrialization,pp. 8, Kaufhold, pp. deutscbland, 1750 (Paderborn, 1'991), summarized 18 8-9. Brakensiek,'Agrarian Individualism in North-r0(esternGermany, 7770' 157-6l.on the 64 SeeG. Aubin and A. Kunze,Leinenerzeugung und Leinenabsatzim ostlicben 1,870',Geimoi Hittory, 1.2(t994), pp. t37-79, esp.Pp. in parts Mitteldeutscbland zur Ze.it der Zunftk1ufi. Ein Beitrag zu industriellen interpenetrarionbetu'een landlord powersand the Marku.erfassuag Kolonisation des deutschenOstens (Sruttgart, .Die of \iestphalia (particularly ecclesiasticalterritories such as Osnabriick). , 1940);'H. Aubrn, 'Theory Alfelee der grossenschlesischen LeinenwebJrei und -handlune', 7t Mendelsl and Reality', p. 80; Kriedte,Medick, and Schlumbohm, 'The VSTVG3.5 Q.942),pp. 103-78; H. Kisch, Texrile Industriesof Siieiia and the Industrialization,pp. 8, t5-I7, 40. 72 Swisscanton of Zidrich, Rhineland:A com-parative.studyof Industrialization,'in Kriedte, Medick, On EnglanJ,.."'i&in., FamityFormation; on the Change-lnthe and schlumbohm,Industrialization, pp. 178-200.For recent,,rru.y, ,feuj see R."Braun,'Early Indutt.iulit"tion and Demographic. of F.ertility dal proto-industries'in cenrraland eiirern Europe,see Milan M$ka, .proro- Canton of Zirrich', in C. fiUS ed., Historicat Studi-esof Changi.ng industrialization (Princeton, pp. 299, 307' alrhough-s:e the,evi- in Bohemia,Moravia and sileiia;,in ogilvie-c. C.r*"n, 1978),pp. 28g-i34, 111o. .sociai thi cantonof Zi;rich in which EuropeanProto-industria.lization, pp. rB8-207; and s. ogilvie,"nd dencethat'industry'iros. in son,e'uillages'in 'Proto-indus- Institutionsand Proto-industrializati,on',in o_gilvieand Cermin, Eurapean strongcommunity'institutions survivedlpresented in U. Pfister, Proto-industrialization,pp. 23-37, herepp. Ig-ZO. trialiiation ^na b.-ogr"fhi. Ch".rg..'The Canton of Z;'ich Revisited', of industralization Germany,1630 -1800 Th e beginnings

is criticized ty-carlo 18 (19891,629-62, herep. 535 with n. 14, and esp.pp. 653-9. This aspect of the theory of proto-.industrialization JEEH 81 and.urban', Reu1eyl,J t1985)' pp' Seethe discussionin Ogilvie,'Proto-industrialization pp. 156-7; i;;t,":15;;"irt,t*ii'*i.n,'Rural in Europe', 'Proto-industrializ-ation',p-p: Ogilvie, 'SocialInstitutions', 27-8, 30. :oJ]ra, and by cerman, 191-7; ,r.._L^L pp' 16t ?-!;-Kriedte, Medick' schlumDonm' 74 Seethe discussionof the relationshipbetween state and local communityin i,i.nJ.ft, Indistrialization, 82 13, 22. 105' 115' 128' Mack \i(alker,German Home Towns:Community, State, and GeneralEstate l'iiutniolization, pp. 7, Cerman,'pioto-industrialization', pp. 281-7; 1648-1871(lthaca, NY, 1971),and the discussionof the mechanismsby ii;;::;;;;"jrrl'trrir",iln'; 83 in Europe"pp' 159-7I' which the German symbiosisbetween community and state arose in the bgiii,i.,'Proro-industrialization 'Crisis', iextilgewerbi'^yf 116' 130-1' 140; earlymodern period in Ogilvie, 432f. Kisch, Hausmdustrrcrrei ^100-3' 84 ;C'.Bes pp' 2zr' 22s' 24.i')46' 24e' 2s8;.Peter'Kriedte' 75 E. Grollich. Die Baumwollwebereider siichsischenOberlausitz und ihre ii;;;li., Kapitai;.'gtonoil'ic 'Der :ii...gt.pfti. Rhyrhms:.TheRise of the Silk lndustryin Entuicklung zum Grossbetrieb(Leipzig, 1.9L1l; A. Kunze IJTegzur kap- ,nd jrcH l5 (1986),pp'. 2s9--89',here pp' 260-r' italistischenProduktionsweise in der OberlausitzerLeineweberei im aus- f*t.ial, Barkhausen, D ie Hausinditti iLttt" Textilgew erb e, pp. 280-92; gehenden17. und zu Beginndes 18. Jahrhunderts',in E. , ed.,E. W. 85 S.;^i{;;}i, (Berlin, Tuchindustrie-rc.*.,1.1'nJschaften',.in Montioie' uon Tscbirnbausund die Friibaufkliirungin Mittel- und Osteuropa p' Kisch' Hausindustriellen re50). 86 K";;il;il;- -752; im 'From pp. 273-316;Joachim Kermann' Die'-Manufakturen 75 H. Kisch, Monopoly to Laissez-faire:The Early Growth of the il-iii))*rrUr, (Bonn,1e72;, r32rr. rWupperValley Textile Trades', | (1972),pp.298-407, pp.299-304; ;;;;;;;;i;srijtsss qq.111-30, JEEH 'Gro8es pP.307, 351-3, 4qq' 7' Kisch,Hausindustriellen Textilgewerbe, pp.94-6; Kriedte, Kapital', 87 riir.tt,-:ftlonopolv',^rr 193, Dre1 ndu st r ie am rii]"ia,l c.'*eiueirnas.n"rren', p' 150; Alphons Thun' p.225. 88 Dte Industriedes bergiscbenLandes 77 Mager, 'Spenge',pp. t52-3; Mager, 'Verflechtung', pp. 443, 447-9. tiiil'riiili"'(;;k;';;;, und.ihreiiiiurr,'ii: R;rnria Eberfetd-Barmen)(Leipzis-'-.1'879)' pp',1'09-22' 78 Mager,'Verflechtung',pp.441.; W. Mager,'Die Rolle des Staatesbei der ""a in Charles R' Hickson and Earl A' See e.g. the arguments put forward gewerblichenEntwicklung Ravensbergsin vorindustriellerZeit', in K. 89 EconomicDevelopment" il".;3;";A x?* ir'.".v of Guilds11d Eylgnean Dijwell and \(. Kollmann, eds.,Rheinland-Westfalen im Industriezeitalter, (I?9,11'pp' t27-68' f.-ri1'"ror-"t in E.conomicHistory' 2^8 iz Von der Entstehungder Prouinzenbis zur Reichsgrilnduzg(\Wuppertal, p. dir Remscheiderund berg- 'Agrarische 90 i;'E;;;i; L.gers,-Ais der Gescbichte 1983), pp. 6l-72, p. 7t; J. Schlumbohm, Besitzklassenund "rd (Remscheid,'1928), t' 13,1-9' ischen Werkzrug- uni-Eiri;enindustrie -pp.. gewerbliche Produktionsverhiltnisse:GroBbauern, Kleinbesitzer und ,C.*E p. 150;Thun, lndustrieam Niedefibein, Landloseals Leinenproduzentenim Umland von Osnabri.ickund Bielefeld 9l ii""n.fJ, b.lu.,dJa{ren', 57-9' wdhrend des friihen 19. in Mentalitiiten und Lebens- ii. pp. l6-19.32tf .. Jahrhunderts', 394--40'l' uerhiibnisse(Gottingen, 1982), pp. 315-34, pp. 330-34; Schlumbohm, 92 Kisc'h,'MonoPoly''PP. 'Anfdnge';^Kisch,'silesia and 'Peasant Aubin and Kunze, trlnirrr"rigung; Aubin, society',pp. 787, 1,97. 93 In someareas' 'Walker, ,i.'ilftit.L"d'; Kaufhold.'Geierbelandschaften"p'.125' 79 German Home Totuns;for a detailedexaminarion of what rhis in the early rhe beginning,of ,urri-tinln productionare already'observable meanton the local levelin an industrialregion of the duchyof Wiirttemberg, Leinenproduktion m 'Coming , ,.. rftitz, Liindliche seeS. C. Ogilvie, of Age in a CorporareSociety: Capitalism, ".g.'^'C.tfinia Sacltsen(1470 -1 55 5) (Berlin,'und 1961)' and Family Authority in Rural lUiirttembergt590-1.740', Continuity and .Kuliur erzgebirgischer 'Insritutions 94 B. Schone, *rovJi.- i-ebensweiseLausitzer und Change,I (1986), 279-331, and S. C. Ogilvie, and Economic im lvtanufaktur- Textilproduzenr.., *n Keramikproduzenten Developmentin Early Modern Central Europe',Transactions of the Royal in H' Zwaht' kapitalismusuna i.r d..'perlod. der Industr'iellenRevolution" HistoricalSociety,5th ser., 5 (1995),pp.22l-50; on rhesurvival of strong den drei$igerbis ed.,Die Korst;t ;'riig^irr"iiirt,r" Arbeiterklasseuon communitiesinto the nineteenthcentury in many partsof the Germansouth, (Berlin'.legtllll- 446-67:B' zu densiebziger li' 1on't'u"aerts and their impact on factory indusrrialization, see Tipron, Regional Ir;i;;;;;; -.Spitzenklopplerinnel,Z."X"tt" Schone,'porrrn.nri..-"t --i,tu-'pf*irker Variations. im Vogtland und Lebensw.ir.uon'r.*iitptJauttnten im Erzgebirgeund 80 On the Black Forest worsted industrv. see Troeltsch. Caluter Kapitalisrnus wahrend a., p..iod". d.r'iii;r;;;;; uom Feuda'iisn.'urru* Zeughandlungskompagnie;and Ogilvie,'insrirurions and Economic und Fabrik' (1750-1850)',l" rilwlitrt"u, ;J''"%le slebenzwischen Zunft Development';for a comparisonof the Black Forestworsted industry and und Schichten Studien zu Kultur und Lebenstueisewerktiitiger Ktallen the linen industry in the district of Heidenheim, see R. Flik, Die (Berlin/GDR' wiihrend d* 'brrso'n'i, iim Feudalis*r, zui Kapitalismus Textilindustriein und in Heidenheim1705-1870. regionaluer- te82r,pp. roz-ofiri.r;f;'-G;tiil;;"'', pp' 33-5;Kaufhold''Gewerbe- gleichende Untersuchung Gescbichte der Friihindustrialisierung und zur landschaften',p. 128. Industriepolitihin Wiirttemberg(Sruttgart, 1990); for a derailedexamina- zur M'anufaktur 95 B. Schiine,'r-"uriir.i Bandwebereivom Zunfthandwerk tion of certainaspects of the linenindustry in the disrricrof Urach,see Hans und zur friihen Fabrik,, in lnternanoniles Handwerksgeschichtliches Medick. "'Freihandelfiir die Zunft": Ein Kaoitel aus der Geschichteder pp' t76-81' pp' symposiumvrr"prai iil24.11.1978 (veszpr6m,L979\' Preiskdmpfeim wi.irttembergischenLeinengewerbe in des I8. Jahrhunderts', 178_9. Mentalittiten und Lebensuerhlihnisse,pp. 277-94; and Hans Medick, 96 Kaufhold, 'Gewerbelandschaften',p. 129;-Albin Konig, 'PrivilegiertesHandelskapital und "kleine Industrie". Produktion und li1..,Sj;chsiscbetu.iih'rendder Baumtuollind.ustrieam Ende d'esuorigen Jahrhunderts und Produktionsverhdltnisseim Leinengewerbedes alt-wiirttembergischen Variations' Kontinentalsp"rrr-1i^-ptg,,-ttll], pp'1+aif'; Tipton' Regional Oberamts Urach im 18. Archiu Sozialgeschicbte,23 Jahrhundert', fi.ir p. (1983),pp.267-3t0. 32. Germany, 1630 -1800 Tbe beginnings of industralization

97 Woiff, 'Guildmasrer', see TiPton' pp. 33-5, 38. Darts of 19th-century Germany during industrialization' 98 tota,- D, 5-\. 59,7I,72-76' Fisional Variations,pp. 26-7,30, 52-3, 'excursus' 'The 99 Tipton, Regiona! Variations, p. 32. prit th,ti in a nine-page on r23 ir"u.r,l ,rt. tr^,. it t 100 Hans Lohse, scbmalkalder Bergbau, Hiittenwesen und Eisenhandtuerk insriturion"l6r"..*ork.of"itlt.ut.a proto-induitri-alization'in Kriedte, til;;;.k, and (Schmalkalden,1955), pp. 45-67. "iU,i."i and Schlumbohm, Industrializction,pp' 1'25-34' 101 P.Rotschky,'Die l8with manv'if not'all' rfaffenindustriein suhl, ihre Enrwicklungund Lage'(Jur. ;;;;'t;;-".y ln n.i"i"ii^ii, i'*t'a"'p" D. diss., 124 the.vield mu.stbe estimatedas Univ. of Jena,1933), pp. 26-33. ;;;.^lr#;;i,lt^r,rf".to'i!s by the state, 1'02 Emanuel worked economicallyin the longer Sax, Dje Ha:uindustriein Tbilringen,ii: Ruhla und dasEisenacher ;"#;;;ii i.- .i trt.t. ma""facto'ies Oberland(Jena, 1884), pp. 5-37. term.' .prussian of the Krefeld 103 Ema.nuelSax, Die Hausindustriein Thi.iringen,i: Das Meiningeroberland il';.". HerbertKisch, Mercantilismand the Rise 125 Tra,nsactions (2ndedn, Jena, 1885), pp. 11ff.,138-50. ffi ;".). Variationsupon an Eighteenth-CenturyTheme" illk (1968\' patt 7' 1-50' pp' 1'04 walrer ,Die Apoldaer wirkwarenindustriebis zum lahre 1914 ".)frir-iiirtroi rhitotophical Societv,NS 58 (Jena, 1922) and Hans Eberhardt, Goetbes lJmwelt. Forschungen- zur l-15. gesellschaftlichenStruktur Thi.iringens (lfeimar, 1951), pp; 122-4', pp. 67-g5. 126 fuufitota,'Gewerbelandschaften','tlr.i.a - 105 PeterBaum, 'Die wirtschaftlicher 'PrussianMercantilism" p'.15' n' 1' Johann Entwickluns des Obiieichsfeldes 127 in Kisch, in der Neuzeit,mit besondererBeriicksichtigen wi,tschaf*geschichte.'des scbwaraualdes und der der Flausindusrrie'(ph.D. 1,28 ;#'h;J Gorhein, diss.,Univ. of Berlin,1903). i rr)'nnrrra* Landschaften, i, Sladte-und Gewerbegeschichte {Srrasbourg, 105 Hans Patze and schiesinger,eds, GeschichteThiiringens (5 vols, wotr"- nit DeiStaatund die Anfiinse _'walter i;';;i.';;;;;:';;';;;-;'.-iisi f:" Gewerbepolitih Cologne,L982l, herevol. v, pt 1,,p. 421. )rriiairtr6tisierung i; Bade; 18A0bis 1850,i: Staatliche 707 Sax, Hausindustriein Thiiringen, i: Das Meininger Oberland, pp. 7Lff. (Berlin,1952).-fiitn.r,, 108 schneider,Apoldaer wirku,arenindustrie;Eberhardt, Goetbes umielt, pp. il;ffi IJnkundenbucltzu tbiiringischenGlashilttengeschichte 1,29 pp' 57-85. i'"*irrc zu t'hilringischenGlashiittengeschichte (lriesbaden' 1973)' 'Die "i- Tbiiringens(5 109 Baum, wirtschaftiicheEnrwickluns'. ;;-; t-fr;;;- i;r. rtf, w"lr.r Schlesinger,eds,, Geschichte 'Verflechtung', 478' 509-14' 110 Mager, p. 444. i"f.,'C.f.g..nZtenna, 1982),i, section1, pp' t98-23t' 422' 111 see the detailedexamination of the companyof rhe Bielefeldlinen mer- 515,534. chants'wandel in A. Fliigel, Kaufleute und Maiufakturen in Bierefeld: sozialer 130 Kaufhold,'Gewerbelandschaften',pp' I9J-8' und tuirtscbaftliche Entwicklung im proto-industriellen Leinen- 1iia.,p. i:2, wolff,'Guildmaster','pp't5-26,33-36;-Alfred Zimmermann' i3i p.76' getuerbeuon 1680 bis 1850 (Bielefeld.1993\. nt|ii1,iiund Verfall'desLeinengew:e)bes in Schlesien(Breslau, 1885)' 'Verfrechtung', .Gewerbelandschafien', Btickner, Zur 112 on lJreLegge in rhe countyof Ravensberg,see Mager, pp. 132 Kaufhold, pp. 150-1; Clemens_ 452ff.; on Ravensberg rhe prince-bishopric" des RegientnisbezirksAaclten (Cologne' 1975)' p' 'seasoral -and of osnabriic[,. ii. wirtrrhaftrgeschichte schlumbohm, flucruations! on. the .ounty of recklenburg, see 322. 'Beitrdge 'Crisis" ' StephanieReekers, zur sratistischenDarsreilung der gewerbl"ichen 133 On this, see e.g. the literature surveyed in Ogilvie, 434-5 '$Tirrschaftlwestfalens um 1800, T. 3 Tecklenburg-Lirigen',"westfiilische r34 Kisch,'silesia and the Rhineland',184-5' 'Verflechtung', 441l' Forschungen,19 (1965), pp. 34ff. 135 Mooser, BiiuerlicheGesellschaft,'p. 156; Mager, .p' 'Rolle ,Rolle 'Agrarische 113 desSraares', p. 67; Schlumbohm,'seasonal flucruations', Mager, desSraares', p. 71; Schlumbohm, Besirzklassen', $ager, p. 'Plasant 94. pp. :lO-+; Schlumbohm, Society',pp' 1'87,L97' 'Agrarische , 714 Schlumbohm, Besitzklassen',p. i36 V. Grube, Yogteien, Amter, Landkreise'in der GeschichteSiidwest- 'Der 330. I 15 J. Mooser, veg vom proto-induirrieilenzum fabrik-indusrriellen deutscblands(Zid edn.,Stuttgart, 1960), esp. pp. 18-41' J' A'Yann,The 51, Gewerbein Ravensberg,1830-1,914', in K. Diiwell and ri(. Kcillmann,eds, Making of a'State:Wiirttemierg, 1593-1793 llthaca, NY, 1984),PP: in Rheinland-vlestfalen im lndustriezeitalter, i: von der Entstebung de) 295, ind' passim; D. W. Sabe"an,Property, Production and Family Prouinzen his (Cambridge,1990), esp. pp. 65-87' zur .Reichsgrilndung(V/upperral, 19g3), pp. 73_9i, pp. Neckarhauien,1700-1870 . 75-82; Schlumboh,m,,'Agrarische 137 SeeOgilvie, .irisis', the ptocesJby which this symbioticrelationship 'Guildmaster', Bisitzklassen', p.^' 330; lyojff, where pp. 30-3. betweencorporate groups and the Germanstate developeclls exploreoln 'coming of 715 on rhe worsted weavers'.guilds, see ogilvie, of Age'; ogilvie, greaterdetail; an illirstrationof how this was seenfrom the perspective 'Institutions'; .-TroeltJch, (and on the Calw merchant -ompany, see iot*r, ih. .r"t. bur""u.r".y is provided by the persistentlycorporatist Z eu g h a nd I u n gs k omp a gni e. extremelvinfl uential)'recommendations of the mercantilistJohann Joachim 117 guilds ...Freihandel"'; Becher, Becher1635-1682: Ein Qn .the. of the linen weavers, see Medick, on rhe chronicledin H. Hassinger,Johann Joacltim Heidenheim merchant company, seeFlik, Textilindustrie; Beitragzur Gescbichtedes Mercantilismus(Vienna, 1951)' on the Urach com- r38 'Privilegie-rtes pany, see Medick,'Privilegiertes Handelskapital'. Troeltich,Calwer Zeughandlungskompagnie, *:Og-S; p- 327; Medick, 118 Ibid., p. 301; Flik, Textilindustrie, pp. 92-3. Handelskapital',pp. Fllk, Textilindustrie,pp. 99-10l' 105-7; 1t9 Ogilvie,'Institutions'; Flik, Textilindustrie. Ogilvie,'Insciturions'. 'Privilegiertes 139 :Monopolv'. I20 Medick, Handelskapital', pp. 305-1 0. Kiich, pp. 307-8, 316, 323,345' 355, 372, 386' 12r Flik, Textilindustrie, pp. 1l7ff., 142-3.- 140 \flolff, 'Guildmasieii pp. 39-47; Tipton, Regional Variations, Pp' r22 For detailed examples of how guilds continued to constrain growrh in many 30ff. Germany,1630 -1800

741 For a recent survey of the role of demand in European industrial growth, 'Between see Jan de Vries, Purchasing Power and the lTorld of Goods: Understandingthe Household Economy in Early Modern Europe', in John Brewer and Roy Porter, eds, Consumption and the World of Goods (London/New York, 1993), pp. 85-132, esp. 85-9. Seealso the brief but enlighteningdiscussion of the possiblerole of srate demand in stimulating and/or inducing crises in particular economic sectors, in N. Steensgaard, 'The Seventeenth-Century Crisis', in N. G. Parker and L. M. Smith, eds, The General Crisis of the SeuenteenthCentury (London, 19781, pp. 36-42. F'or the view that high military spending stimulated industry in early mod- ern Europe, seeWerner Sombart, Luxus und Kapitalismus (Munich, 1913); F. Braudel, The Mediterranean and the Mediterranean World in the Age of Philip II (2 vols, London, 1972), i. pp. 409-10. 142 Verner Somb:rrt, Krieg und Kapitalismus (Munich/Leipzig, 191,31;see also Gerhard Oestreich, Friedrich \X/ilhelm L PreulSischer Absolutismus, Merkantilismus, Militarismrs (Gdttingen erc., 1.977), pp. 53f., 85f. For a discussion of Sombart's views on war as a demand-side stimulus to indus- \Winter, 'The 'War', try, see J. M. Economic and Social History of in J. M. Winter, ed., War and Economic Deuelopment: Essaysin Memory of Dauid I oslin (Cambrid,ge, 1,9751, pp. 1-10. 143 On the general growth in consumer demand in early modern Europe, see 'Purchasing e.g. de Vries, Power', and the other essaysin Brewer and Porter, eds, Consumprlon. Studies of the growth of consumption in Gerrnan-speak- ing Europe are still not numerous,although there are important exceptions: see e.g. Roman Sandgruber, Die Anfringe der Konsumgesellschaft: Konsumgiiteruerbrauch, Lebensstandard und Albagskultur in Osterreich im 18. und 19. (Vienna, 1982); and Ruth Mohrmann, Alhagsweh Jahrhunderl 'Wohnkubur im Land : Stadt und kindliche uom 16. bis zum frilhen 20. Jahrhunderl (Miinster, 1,9901.A growth in market-orientated consumptiorl and production in a ril/iirttemberg village from about 1750 onward is describedby Sabean,Property. 144 In the most important recent contribution to this debate,Jan de Vries argues that demand for market goods led households in many parts of Europe from the mid-seventeenth century onward to re-allocate time from leisure and 'consumption-preparing' activities to 'income-earning' work; thus consumer demand drew previously 'idle' household labour into market production: 'Purchasing 'The see de Vries, Power', esp. 107-2t, and Jan de Vries, and the Industrious Revolution,' Journal of Economic History, 54 (7994r,249-71. However, while de Vries brilliantiy illuminates a possible mechanism bv which demanC could have drawn idle resources into productive use, he ieaves unresolved the question of what caused the initial growth of consumer demand, merely mentioning that it may have derived either from changing tastes or from changing relative prices - e.g. from greater availability of cheap, attractive market wares (Ibid., p. 257). 'Government t45 Lee, 'Economic Development'; F. B. Tipton, Policy and Eco- nomic Development in Germany and : A Skeptical Reevaluation', Jour- 'S7. 'Government nal of Economic History,4t (1981), pp. 139-50; Fischer, Activity and Industrialization in Germany 1815-70', in W. \f. Rostow, ed., The Economics of Take-off into Sustained Growth (London, 1953). 146 The widening regional disparities within Germany during 19th-century industrialization are emphasized by Tipton, Regional Variations.

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