Chronicles Economic and Business History Research Centre Chronicles January—March 2006, Volume 1 / Issue 3
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THE CHRONICLES ECONOMIC AND BUSINESS HISTORY RESEARCH CENTRE CHRONICLES JANUARY—MARCH 2006, VOLUME 1 / ISSUE 3 The American University in Cairo TABLE OF CONTENTS The Editor’s Note 2 EBHRC CHR O N IC L E S Editor: Dina Khalifa Hussein From our Archives Director, EBHRC: Margins of the Economic Past 3 Prof. Abdelaziz Ezzelarab A Prologue to Egypt’s 5 Project Officers: Industrialization Mostafa Hefny Mohamed I. Fahmy Menza Graveyards and Digital Recordings 7 Wael Ismail Administrative Assistant, EBHRC: Interview Yasmeen Samir When Firms and Entreprenures Cross Borders 12 Young Scholars Contributors: Zeinab Abul-Magd Jano Charbel Historical Perspectives Amr Nasr El-Din Lee Nunley Egyptian Textile Workers in the 16 Karim El-Sayed Transition to a Neo-Liberal Order Dina Waked The Story of Egyptian Railroads 19 Guest Contributors: Prof. Joel Beinin The Nurturing of Wealth: The First Call for a National Bank in Egypt 23 Layout &Design: Translated Manshour p. 26 Magda Elsehrawi Logo: History in the Making Nadine Kenawy Law and Economy in Egypt 30 THIS ISSUE HAS BEEN COPY EDITED BY Skirmishes in the War for Drugs 34 Prof. Hala El-Ramly Ms. Jayme Spencer The Chinese Real Estate Boom 38 Prof. Herbert Thompson ******* In the Pipeline Egypt’s Trade Unions: About EBHRC 44 EBHRC Supporting Institutes: Reason for Hope or Hopelessness Center for Middle East Studies, Harvard University Business Not as Usual Near East Studies Program, Princeton University Traditional Crafts—An Untraditional Source of Income 47 Middle East Center, University of Pennsylvania Middle East Center, Research Ideas University of Washington Global Business Center, Business School, The Laws of Competition 50 University of Washington Office of Provost, AUC Book Review Office of Dean of BEC, AUC Economics Department, AUC The Story of an Arab on Wall Street 52 EBHRC Collaborating Scholars: Prof. Ellis Goldberg, Our Archives 54 (University of Washington) back Announcements Prof. Roger Owen (Harvard) cover Prof. Robert Tignor (Princeton University) Prof. Robert Vitalis (University of Pennsylvania) Cover image: Salim Khalil al-Naqqash, Misr lil-Misriyin. (Alexandira, 1884) 1 EDITOR’S NOTE EDITOR’S NOTE... istorians and storytellers have a lot in common. They both endeavor to describe a story that occurs between a spectrum of fiction and reali- ty, and mostly precedes a present disquiet and delve into the past, narrating details of incidents and how they occurred. More ambitious historians attempt to propose an answer to a question, such as what Hwent wrong? People’s memories is the reservoir for our quest to revisit historical incidents and narrate similar historical stories and questions. Some of these mem- ories expose a history on the margin of mainstream literature. The Chronicles’ From our Archives section presents stories of Egypt’s industrial experience and more importantly highlights the human factors behind important policies and their execution. In an interview with Prof. Geoffery Jones, we delve into the intellectual develop- ment of a prominent business historian, and explore how business history is and should be conducted. Prof. Joel Beinin gives voice to the marginalized, the work- ers whose story is traced through their strikes and protests. Jano Charbel recounts the story of the unions and syndicates. As in all historical stories, the writers’ treasures are old documents that are them- selves the foundations of historical realities. In this issue, Prof. Abdelaziz Ezzelarab introduces a communiqué or manshur titled “Inma’ al-Mal” (“The Nurturing of Wealth”) which was issued in April 1879 and urged the public to found a joint stock national bank through public subscription. Its opening statement claims that God commands people to invest in nurturing natural wealth. Thus, the first call for a national bank is nourished by a religious lingua whose consequent his- torical repercussions are raised by the author. We present this issue of The Chronicles as an intertwining of historical stories and contemporary realties. We shift between digital recordings of oral history to old documents and newspaper clippings among other sources to present 14 articles, with immense gratitude to our contributors and supporters. Dina Khalifa Hussein, Project Officer, EBHRC NOTE OF GRATITUDE One of our colleagues made a career shift last month. Wael Ismail is one of the founding project officers of the center and was present since its conception. We are immensely grateful for Wael’s contributions and wish him the best in his future plans. We also send our best wishes to Dina Waked, Karim El-Sayed, and Omar Cheta, our colleagues and friends who have embarked on new careers, and thank them for their continuing support. 2 FROM OUR ARCHIVES Margins of the Economic Past Wael M. Ismail, Project Officer, EBHRC oices of those on the mar- possessed a liberal economic system, gin are easily swept under the revolution came to change all that “... To truly under- the carpet of great events and transform the country and the of a nation’s history. The economy into a state-run enterprise. The stand the impact of m a rginalized have been death of Gamal Abdel Nasser brought Vcast in the past as those oppressed new waves of reforms that culminated economic policies, classes of the underprivileged, the poor in the 1974 October paper that ushered and the working classes. Our definition the way for the open door policy and a it was essential to of the term has to be broadened how- complete change in the country’s eco- ever for us to truly understand the nomic policies. It would seem that Egypt grasp the point of course of events. The marginalized are for the past fifty years has been working not necessarily those mentioned above, its way back to the pre-1952 current view of the men in some cases they are not those work- state of things, although this brief outline ing on the factory’s floor but those sitting of the country’s economic transforma- responsible for their in their offices higher up the ladder. tion might be true to an extent; this is an outline that stands on shaky ground. execution ...” Egypt’s economic history can be summed up with ease into neat, clear For the past two years, interviews con- cut compartments and epochs. Looking ducted by the Economic and Business dent) helped illuminte issues concerning from the outside it would seem that History Research Centre brought to the Egypt’s industrial experience - especial- before the 1952 revolution the country fore, at least to the interviewers con- ly after 1952. To truly understand the ducting interviews with various public impact of economic policies, it was officials, whether ministers or public sec- essential to grasp the point of view of tor managers, new issues and questions. the men responsible for their execution. “... the marginalized The roster of interviewees was mainly D r. Gazarin’s input mainly re v o l v e d focused on individuals who had played around Al Nasr Co.. From his account of are in some cases an important role in shaping Egypt’s the ups and downs of this fallen giant, a economic past. Their reflections on their number of observations can be extrap- not those working careers and current state of things pro- olated. The importance of such an duced a number of interesting and account and others compiled is that on the factory’s insightful narratives. These narratives these figures witnessed the changes often opened a window onto a past that occurred in Egypt’s economic poli- floor but those that was blocked by mass generaliza- cy as they took place. They were not tions and assumptions usually taken for themselves marginalized, but their sitting in their granted about the epochs discussed. accounts and narratives were clearly marginalized when Egypt’s economic offices higher up Dr. Eng. Adel Gazarin, was one of the history was numerously. Listening to Dr. first interviewees. His tenure at Al Nasr Gazarin narrate his own version of the the ladder...” Automotive Co. and his involvement in past, a number of issues that were for- institutions such as the Egyptian merly taken for granted were problema- Federation of Industries (former presi- tized in light of the new material. 3 FROM OUR ARCHIVES of the state’s political agenda. On more than one occasion Dr. Gazarin “.. The marginalized spoke of how some policies that were “... The enacted severely impacted the public have been cast in sector and, in particular, Al Nasr Co. transformation of According to him the company was the past as those b u rdened with so many projects, it this class of never had the chance to specialize in oppressed one area and excel in it. From the out- executives from set the company, everything was politi- classes of the cized, from the pricing of the cars that entrepreneurs in was determined by politicians to the underprivileged, refusal of partnering foreign capital in their own right the establishment of the company. The the poor and the latter reason contributed to the failure (albeit in public of the company as Dr. Gazarin noted, working classes. especially if Al Nasr was to be com- sector firms) to pared to the other car manufacturing Our definition of the companies that were established in the exactly what critics Far East with the participation of foreign term has to be capital leading to various success sto- of public sector ries. Another major problem that the broadened company faced was the introduction firms warn against of the labor force as important players however for us to on the board of the company under is an issue that is Nasser. The workers gained numerous truly understand the rights that according to Dr. Gazarin rich and intriguing, were abused, and, on more than one course of events ...” occasion kept the management from yet remains largely running the company efficiently.