City-States, Taxes, and Trade

Abstract

This chapter examines the taxation system for trade and commerce in ancient Greece. It first considers how foreign trade and customs duties were supervised before discussing the system of taxation for maritime trade. Citing documents concerning tax exemptions, the chapter shows that traders were constantly seeking privileges in an effort to avoid paying taxes. Maritime shipping was the quickest and least expensive way to move goods, and ports were levied the highest amount of taxes. Cities situated on the coastline benefited from an economic rent related to their location, and they exploited their natural advantage to the maximum. A city had the right to levy transit fees on its own territory, but not if these fees were levied on a maritime channel. The chapter also emphasizes the importance of economic information in maritime commerce, especially with regard to ensuring the security of international trade.