"Twins in spite of themselves": Spanish and Ottoman empires’ issues of decline in XVIIIth century

Common and different in Spanish and Ottoman Empires during the crisis. Lack of industrialization, incorporation into World-Economy, lack of protectionism policy, ineffective fiscal system, devastating and lasting wars, rigid political and social units.

Рубрика История и исторические личности
Вид статья
Язык английский
Дата добавления 09.03.2023
Размер файла 224,2 K

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spanish ottoman empire economy crisis

Appendix 1

“Too much related” - same problems same path and same results

Criteria

Spanish Empire

Ottoman Empire

Lack of

industrialization (production with high surplus value)

1797 - 11,5 millions in mainland Spain, 13%

working in industry/

secondary sector (1,5

million), first cottonspinning machine in

Barcelona (1737), 1765 - “Jenny” machine firstly introduced, 1791 - water

frame, 1803 - Crompton machine [61, p. 383-384].

Ottoman

industrialization was no match in design and process with European one, it rather appeared as a complex pattern with rising and falling, export was not

encouraged but rather cutralide by prohibition quotas, imp[ort on the other hand was fostered and facilitated [62, p. 59-60].

Hush and non- profitable incorporation of Ottoman and Spanish Empires into World- Economy

Spanish protectionism

policy interlinked with its foreign trade gave disastrous results combined with poor rate of manufacturing easily traced in examples of Latin America trade (where only Spanish ships and merchants could trade but within Latin America and ban for industry and intercontinental trade was ruined by debatable Bourbon reforms [63, p. 35].

Due to WSA research Ottomans were

incorporated during

1750 to 1856, as Trade Treaty of 1838 and later 1844 marked the end of incorporation of

ottoman economics into European trends

(subjugated by

primarily Great Britain and lesser by France) [64, p. 150-151, 68].

Destructive/ineffective protectionist policy

“Let London manufacture those fine fabrics of hers to her heart's content; Holland her chambrays; Florence her cloth ... Milan her brocades, Italy and Flanders their linens ... so long as our capital can enjoy them; the only thing it proves is that all nations train journeymen for Madrid ... for all the world serves her and she serves nobody” Alfonso Nunez de Castro, written in 1675 and quoted in Vives gives a clear view of Spanish inadequacy in economic policy [66, p. 2]. Free tarde of grain (1765), abolition of internal custom duties, free-trade with American colonies,

protection of manufactories, loosening property

inheritance laws (1798) = resulting weakening the state without proper

economic status

Ottoman thought about protectionism never

reached far than crucial issues (timber, wheat) and was based on intrinsic and rather delusional presumption: let foreign goods inside is better than making custom protections

(thought to torn apart European production), which had been proven completely wrong and ruinous to ottoman manufacturing till 1844 [65, р. 82-84, 100]. Economically, the

Ottoman Empire was a pre-capitalist state. The economic policies of the state, such as they were, were aimed at subsistence

of the population, at provisioning the major population centers and at the collection of taxes in money and in kind. Not until the very end of the empire did the Ottoman

government develop

policies that

could be described as mercantilist, actively

protecting or

stimulating

certain sectors of the economy [46, p. 11]

Ineffective fiscal system and policy

Despite lots of economic reforms, reactions and radical changes, tax

depression still depressed the Mesta and the problem of pastoral protectionism [67, p. 251], inability to transform short-term

national debt into long- termed, burdening/levying commodities with different qualities and prospects of economic growth.

Unable to check the growing power of the provincial notables, the Ottoman state was able to collect limited

amounts of taxes during the seventeenth and eighteenth centuries.

Most of the tax revenues were retained by various

intermediaries. As a result, state finances came under increasing pressure in the

seventeenth century and again from the 1770s onwards, especially

during periods of war [68]. Fiscally motivated debasements were used rather frequently during these periods. New instruments for public borrowing began to emerge during the eighteenth century in response to these fiscal pressures [56, p. 4-5]

Devastating and lasting wars

War of a Spanish succession (1701-1714) made the biggest contribution into Spanish poor demography despite its uncertainness , but till the end of 1787 historians has been given a number of 10 138 000 inhabitants of Spain itself according to the census [69, p. 21]

The last victorious war for the Ottomans

appeared in 1711, when they recaptured the city of Azov. From that moment, all subsequent wars (1736-39, 17661769, 1774-1783) led only to defeat, loss of territories and therefore economic losses.

Rigid political and social units, which constrain strict political actions

Lack of counterbalancing institutions, which leads to concentrating all political power in the hands of monarchs and their inner circle, low quality of bureaucrats and absence of clear state-oriented strategy.

Appendix 2

From superpowers to dust (due to WSA route of Spanish and Ottoman Empires from Center to Periphery)

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