{"title":"Warfare and Economic Inequality: Evidence from Preindustrial Germany (c. 1400-1800)","authors":"Felix S.F. Schaff","doi":"10.1016/j.eeh.2022.101495","DOIUrl":null,"url":null,"abstract":"<div><p><span>What was the impact of military conflict on economic </span>inequality? I argue that ordinary military conflicts increased local economic inequality. Warfare raised the financial needs of communities in preindustrial times, leading to more resource extraction from the population. This resource extraction happened via inequality-promoting channels, such as regressive taxation. Only in truly major wars might inequality-reducing destruction outweigh inequality-promoting extraction and reduce inequality. To test this argument I construct a novel panel dataset combining information about economic inequality in 75 localities, and more than 700 conflicts over four centuries. I find that the many ordinary conflicts — paradigmatic of life in the preindustrial world — were continuous reinforcers of economic inequality. I confirm that the Thirty Years’ War was indeed a great equaliser, but this was an exception and not the rule. Rising inequality is an underappreciated negative externality in times of conflict.</p></div>","PeriodicalId":47413,"journal":{"name":"Explorations in Economic History","volume":"89 ","pages":"Article 101495"},"PeriodicalIF":2.6000,"publicationDate":"2023-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"2","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Explorations in Economic History","FirstCategoryId":"98","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S0014498322000730","RegionNum":1,"RegionCategory":"历史学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"ECONOMICS","Score":null,"Total":0}
引用次数: 2
Abstract
What was the impact of military conflict on economic inequality? I argue that ordinary military conflicts increased local economic inequality. Warfare raised the financial needs of communities in preindustrial times, leading to more resource extraction from the population. This resource extraction happened via inequality-promoting channels, such as regressive taxation. Only in truly major wars might inequality-reducing destruction outweigh inequality-promoting extraction and reduce inequality. To test this argument I construct a novel panel dataset combining information about economic inequality in 75 localities, and more than 700 conflicts over four centuries. I find that the many ordinary conflicts — paradigmatic of life in the preindustrial world — were continuous reinforcers of economic inequality. I confirm that the Thirty Years’ War was indeed a great equaliser, but this was an exception and not the rule. Rising inequality is an underappreciated negative externality in times of conflict.
期刊介绍:
Explorations in Economic History provides broad coverage of the application of economic analysis to historical episodes. The journal has a tradition of innovative applications of theory and quantitative techniques, and it explores all aspects of economic change, all historical periods, all geographical locations, and all political and social systems. The journal includes papers by economists, economic historians, demographers, geographers, and sociologists. Explorations in Economic History is the only journal where you will find "Essays in Exploration." This unique department alerts economic historians to the potential in a new area of research, surveying the recent literature and then identifying the most promising issues to pursue.