Industrial Revolution Flashcards
Prior to the Industrial Revolution, how does Nick Crafts characterise Britain?
as a rich economy with a predominantly rural population, there was inequality but the economy had a surplus beyond basic subsistence
Where was the pre-IR economic surplus located?
In the top 10%
How does Crafts characterise data on the IR?
as “best guesses rather than hard facts”
How can we describe the labour before/ early IR?
families divided their labour between different sectors, factory work was only beginning to replace cottage industry
By 1840, what percent of industrial labour remained in cottage industry?
60%
What did P. Mathias single out as the most important feature of an industrial revolution?
‘the fundamental redeployment of resources away from agriculture’
How were pre-IR investments distributed?
39% to agriculture, 19% to transport, 19% to housing
When did manufacturing investment exceed agricultural investment?
1820s
What percentage of the population did London hold in 1700?
11%
What role did the size of London play in the progress of the economy?
it ‘acted as a stimulus’ to the commercialisation of agriculture and to transport improvements
What was the increase in income per head 1700-1760? When did it start to grow significantly?
0.3% pa, didn’t grow significantly until 1825-50
What is the (broad) traditional interpretation of the IR?
That there was rapid growth from 1780+ (based on assumptions on missing evidence)
What is the (broad) revisionist interpretation of the IR?
That industrial output growth is less than originally assumed (based on available evidence)
What is an issue with studying data from the IR?
Even if we did have all data for all sectors, there would have had to have been an implausible rate of growth at 4% (1700s) and 6% (1800s)
What was occurring domestically in the years leading up to the IR?
markets were becoming integrated because of falling transport costs, there was greater specialisation, and rising scale and efficiency of farms
In what period were exports rising faster than GDP? Why?
1700-1760. Result of specialisation in international trade, and Long term changes on the supply-side
How does Crafts characterise the early eighteenth-century economy?
‘characterised by quite considerable short-run fluctuations in output and employment’
How can we characterise the eighteenth-century business cycle?
No regularity because of intermittent shocks such as war, exports dictated imports changes
Where does Crafts claim there to have been ‘spectacular acceleration’?
In the cotton industry 1760s+
What must be remembered when accounting for the rapid growth in iron and cotton?
These industries only accounted for 10% of industrial output even in 1770.
What is clear if the data is allowed to speak for itself free of historians’ periodisation?
growth occurs 1700-1825, mo singled out short period such as the supposedly ‘decisive’ 1780s
What can be said about pre/early technological change during IR?
Minimal impact to output, but does illustrate the pre-IR inventive activity
What are four examples of technological advancements which occurred in the eighteenth-century?
Darby’s Coke Smelting (1709), Newcomen’s Steam Pumping Engine (1712), Watt’s Steam Engine (1763), Hargreaves’ Jenny (1768)
What is a crucial quote from Nick Crafts on the IR?
‘The major transformation had still to come. Yet, by 1780 a start had been made.’
Where is the historiographic focus on IR?
On how and why there was an increase in economic growth
How did increased economic growth occur? (3 things)
Firstly, by a rise in growth of factor inputs higher than total productivity growth. Secondly, by increased inventiveness (which did not pay off until L18/E19th C). Thirdly, by the matched rise in capital and labour growth.
How can we explain why there was economic growth?
Through an analysis of the interaction between capital, labour and investment inputs- and by considering this WITHIN rather than separate of economic structures.
Why did Britain have notable savings and investment potential?
Because of a high national income with skewed distribution
What can be said about investment by the Napoleonic Wars?
The investment rate was 2x the rate of 1700, moreover, the funding of the wars proves Britain’s economic capability
What inhibited investment in the early IR?
legislative weaknesses in banking, finance, and companies
What made attaining Joint-Stock / Joint-Stock with Limited Liability status hard to achieve and what was the effect?
The 1720 Bubble Act, and that LL status required parliamentary dispensation until 1755. Limited effect because there were alternative means
What was the MAIN reason for low investment in the early IR?
the paucity of attractive and profitable projects
What have historians often claimed about the increase in technological advancements?
Often claimed in the past that tech advancements are endogenous of the economic system
Who claimed that ‘developments that were technically so simple can only be responses to social and economic conditions’? What can be said of this?
S. Lilley (1973). If this is the case, inducements to innovate must have been stronger in Britain than. on the continent
Who suggested that there were tech advancements because of pressures to move away from scarce sources? What issue did they recognise in their own thesis?
F. Crouzet (1980s), he concedes that this is not a full explanation for why there were tech advancements despite it being treated as such in scholarly thought
What is an example of it being easier to prove the economy’s impact in encouraging adoption of tech advancements rather than the actual invention?
Coke smelting, it was invented in 1709, but not widely used until the 1770s/80s
Regardless of its invention and adopting timescale, what can be said of early industrial technological advancements?
It did create a base of expertise and allow people to realise the potential of advancements
How, demographically, were high-income levels maintained?
1500-1750 restraints on marriage, and thus fertility, helped create higher income levels and avert from a Malthusian trap
Which historians claimed that preventative checks of delayed and reduced marriage slowed down excessive population growth?
E. Wrigley and R. Schofield
Regarding population, what change occurred during the eighteenth and nineteenth centuries?
The economy became able to withstand demographic pressure because of an increase in investment and innovation
What was the maximum level of population growth that could be maintained in Britain without encroaching on the living standards in the period 1550-1750?
0.5% pa was the highest population growth the economy could withstand
In the early industrial revolution what role was played by the government / institutions?
The government increasingly effectively allocated resources, and economic and political institutions created adequate incentives and obviated market failures.