Hostname: page-component-848d4c4894-ttngx Total loading time: 0 Render date: 2024-05-15T13:45:38.331Z Has data issue: false hasContentIssue false
  • English
  • Français

Configuring Financial Markets in Preindustrial Europe

Published online by Cambridge University Press:  13 March 2013

Christiaan van Bochove
Christiaan van Bochove*
Affiliation:
Postdoctoral Researcher, Department of History, Utrecht University, Drift 10, Utrecht 3512 BS, The Netherlands. E-mail: C.J.vanBochove@uu.nl.
Get access Rights & Permissions [Opens in a new window]

Abstract

Secondary markets for public debt in Europe's most advanced preindustrial markets, Britain and the Dutch Republic, differed markedly. They were liquid in Britain, but not in the Republic. This article demonstrates that economic geography determined the shape of primary markets and the secondary markets that were based on them. Configuring financial markets in preindustrial Europe was thus not a uniform process leading to one ideal-type market structure. The development of markets with advanced financial institutions did not naturally produce liquid markets. While financial markets in preindustrial Europe were rooted in local circumstances, they functioned well while adapting to them.

Type
Articles
Information
The Journal of Economic History , Volume 73 , Issue 1 , March 2013 , pp. 247 - 278
Copyright
Copyright © The Economic History Association 2013

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

REFERENCES

Aalbers, J.“Met en zonder stadhouder (1674–1747).” In Geschiedenis van de provincie Utrecht Volume 2: Van 1528 tot 1780, 235–268. Utrecht: Het Spectrum, 1997.Google Scholar
Amsterdam City Archive, Archief van Burgemeesters; Willige verkopingen (veilingen van huizen, erven en obligaties). Amsterdam, The Netherlands.Google Scholar
Auctions database (Research Group Social Economic History, Utrecht University).Google Scholar
Barthels, J. G. A. “Jan Kol (1726–1805): notaris en kassier.” Utrechtse biografieën: Levensbeschrijvingen van bekende en onbekende Utrechters 5 (1998): 78–82.Google Scholar
Bartram, Söhnke M., and Dufey, Gunter. “International Portfolio Investment: Theory, Evidence, and Institutional Framework.” Financial Markets, Institutions & Instruments 10, no. 3 (2001): 85–155.Google Scholar
Berghuis, W. H.Ontstaan en ontwikkeling van de Nederlandse beleggingsfondsen tot 1914. Assen: Van Gorcum, 1967.Google Scholar
Bowen, H. V. “Investment and Empire in the Later Eighteenth Century: East India Stockholding, 1756–1791.” The Economic History Review 42, no. 2 (1989): 186–206.Google Scholar
Bowen, H. V.. The Business of Empire: The East India Company and Imperial Britain, 1756–1833. Cambridge: Cambridge University Press, 2006.Google Scholar
Brugman, Jan, Buiter, Hans, and van Vliet, Kaj. Markten in Utrecht: Van de vroege middeleeuwen tot nu. Utrecht: Matrijs, 1995.Google Scholar
Carlos, Ann, and Neal, Larry. “Amsterdam and London as Financial Centers in the Eighteenth Century.” Financial History Review 18, no. 1 (April 2011): 21–47.CrossRefGoogle Scholar
Carlos, Ann, Neal, Larry, and Wandschneider, Kirsten. “Networks and Market Makers in Bank of England Shares: London 1720.” Unpublished Manuscript, March 2007.Google Scholar
Carter, A. “Transfers of Certain Public Stocks in the London Money Market, from 1 January to 31 March 1755.” Historical Research 28, no.78 (1955): 202–12.Google Scholar
Clark, Gregory. “Debt, Deficits, and Crowding Out: England, 1727–1840.” European Review of Economic History 5, no. 3 (2001): 403–36.Google Scholar
Cope, S. R. “The Stock Exchange Revisited: A New Look at the Market in Securities in London in the Eighteenth Century.” Economica 45, no. 177 (1978): 1–21.CrossRefGoogle Scholar
de Bruin, R.“Regenten en revolutionairen (1747–1851).” In ‘Een paradijs vol weelde’: Geschiedenis van de stad Utrecht, edited by de Bruin, R.E., 't Hart, P.D., van den Hoven, A.J. van Genderen et al., 315–374. Utrecht: Matrijs, 2000.Google Scholar
de Bruin, R.. “Wij en onze opvolgers zullen iedereen recht doen”: Het Utrechtse provinciebestuur in historisch perspectief. Utrecht: Centraal Museum, 2003.Google Scholar
De Jong, Jacob Johannes. Met goed fatsoen: De elite in een Hollandse stad, Gouda, 1700–1780. Amsterdam: De Bataafsche Leeuw, 1985. De maandelykse Nederlandsche Mercurius, various dates.Google Scholar
de Pinto, Isaac. Traité de la Circulation et du Crédit. Amsterdam: Marc Michel Rey, 1771.Google Scholar
De Vries, Jan. Barges and Capitalism: Passenger Transportation in the Dutch Economy, 1632–1839. Wageningen: Landbouwhogeschool, 1978.Google Scholar
De Vries, Jan. European Urbanization, 1500–1800. Cambridge, MA: Harvard University Press, 1984.Google Scholar
De Vries, Jan, and van der Woude, Ad. The First Modern Economy: The Rise, Failure, and Perseverance of the Dutch Economy, 1500–1815. Cambridge: Cambridge University Press, 1997.Google Scholar
Dickson, P. G. M.The Financial Revolution in England: A Study in the Development of Public Credit, 1688–1756. London: MacMillan, 1967.Google Scholar
Dormans, E. H. M.Het tekort: Staatsschuld in de tijd der Republiek. Amsterdam: NEHA, 1991.Google Scholar
Eemland Archive (=EA), Notarissen te Amersfoort (=Notarissen), Amersfoort, The Netherlands.Google Scholar
Faber, D. E. A., and Rommes, R. N. J.. “Op weg naar stabiliteit (1618–1747).” In ‘Een paradijs vol weelde’: Geschiedenis van de stad Utrecht, edited by de Bruin, R. E., 't Hart, P. D., van den Hoven, A. J. van Genderen et al., 251–314. Utrecht: Matrijs, 2000.Google Scholar
Fohlin, Caroline. “Universal Banking Networks in Pre-War Germany: New Evidence from Company Financial Data.” Research in Economics, Elsevier 51, no. 3 (1997): 201–25.Google Scholar
Fokker, G. A.Geschiedenis der loterijen in de Nederlanden. Amsterdam: Frederik Muller, 1862.Google Scholar
Fritschy, J. M. F.De patriotten en de financiën van de Bataafse Republiek: Hollands krediet en de smalle marges voor een nieuw beleid (1795–1801). The Hague: Stichting Hollandse Historische Reeks, 1988.Google Scholar
Fritschy, W. “A ‘Financial Revolution’ Reconsidered: Public Finance in Holland During the Dutch Revolt, 1568–1648.” The Economic History Review 56, no. 1 (2003): 57–89.Google Scholar
Fynn-Paul, Jeff. “The Investment Portfolio of the Van der Muelen Family of Utrecht, 1738–1815.” Unpublished Manuscript, Utrecht University, June 2010.Google Scholar
Gelderblom, Oscar, and Jonker, Joost. “Completing a Financial Revolution: The Finance of the Dutch East India Trade and the Rise of the Amsterdam Capital Market, 1595–1612.” The Journal of Economic History 64, no. 3 (2004): 641–72.Google Scholar
Gelderblom, Oscar, and Jonker, Joost. “With a View to Hold: The Emergence of institutional investors on the Amsterdam securities market during the seventeenth and eighteenth centuries.” In The Origins and Development of Financial Markets and Institutions: From the Seventeenth Century to the Present, edited by Atack, Jeremy and Neal, Larry, 71–98. Cambridge: Cambridge University Press, 2009.Google Scholar
Gelderblom, Oscar, and Jonker, Joost. “Public Finance and Economic Growth: The Case of Holland in the Seventeenth Century.” The Journal of Economic History 71, no. 1 (2011): 1–39.Google Scholar
Go, Sabine. Marine Insurance in the Netherlands, 1600–1870: A Comparative Institutional Approach. Amsterdam: Aksant, 2009.Google Scholar
Heins, W. B., and Mathijssen, J. A. C.. Inventaris van de notariële archieven in de provincie Utrecht (1346) 1560–1895. Utrecht: Rijksarchief Utrecht and Gemeentelijke Archiefdienst Utrecht, 1982.Google Scholar
Hoffman, Philip T., Postel-Vinay, Gilles, and Rosenthal, Jean-Laurent. “What Do Notaries Do? Overcoming Asymmetric Information in Financial Markets: The Case of Paris, 1751.” Journal of Institutional and Theoretical Economics 154, no. 3 (1998): 499–530.Google Scholar
Hoffman, Philip T., Postel-Vinay, Gilles, and Rosenthal, Jean-Laurent. “Information and Economic History: How the Credit Market in Old Regime Paris Forces Us to Rethink the Transition to Capitalism.” The American Historical Review 104, no. 1 (1999): 69–94.Google Scholar
Hoffman, Philip T., Postel-Vinay, Gilles, and Rosenthal, Jean-Laurent. Priceless Markets: The Political Economy of Credit in Paris, 1660–1870. Chicago: The University of Chicago Press, 2000.Google Scholar
Ibelings, Bart. “Economie: veel consumptie, weinig productie.” In Den Haag: Geschiedenis van de stad Volume 1: Vroegste tijd tot 1574, edited by Smit, J. G., 151–80. Zwolle: Waanders, 2004.Google Scholar
Jonker, Joost. Merchants, Bankers, Middlemen: The Amsterdam Money Market During the First Half of the Nineteenth Century. Amsterdam: NEHA, 1996.Google Scholar
Kooijmans, Luuc. Vriendschap en de kunst van het overleven in de zeventiende en achttiende eeuw. Amsterdam: Bakker, 1997.Google Scholar
Kool-Blokland, J. L.De elite in Heusden, 1700–1750: Een prosopografische analyse. Tilburg: Stichting Zuidelijk Historisch Contact, 1985.Google Scholar
Koudijs, Peter. “The Boats That Did Not Sail: News, Trading and Asset Price Volatility in a Natural Experiment.” Unpublished Manuscript, Stanford University, March 2012.Google Scholar
Lamoreaux, Naomi R.Insider Lending: Banks, Personal Connections, and Economic Development in Industrial New England. New York: National Bureau of Economic Research/Cambridge University Press, 1994. Leeuwarder Courant, various dates. Available at http://www.archiefleeuwardercourant.nl.Google Scholar
Levine, Ross. “Financial Development and Economic Growth: Views and Agenda.” Journal of Economic Literature 35, no. 2 (1997): 688–726.Google Scholar
Leydse Courant, various dateAvailable, s. at http://leiden.courant.nu.Google Scholar
Liesker, R., and Fritschy, W.. Gewestelijke financiën ten tijde van de Republiek der Verenigde Nederlanden Volume 4: Holland (1572–1795).Google Scholar
The Hague: Instituut voor Nederlandse Geschiedenis, 2004. Data available at http://www.inghist.nl/Onderzoek/Projecten/GewestelijkeFinancien/.Google Scholar
Michie, Ranald C.The London Stock Exchange: A History. Oxford: Oxford University Press, 1999.Google Scholar
Mitchell, B. R., and Deane, Phyllis. Abstract of British Historical Statistics. Cambridge: Cambridge University Press, 1962.Google Scholar
Murphy, Anne L.The Origins of English Financial Markets: Investment and Speculation before the South Sea Bubble. Cambridge: Cambridge University Press, 2009.Google Scholar
National Archives (=NA), Archief van de familie Van der Staal van Piershil (=VSP), The Hague, The Netherlands.Google Scholar
National Archives (=NA). Archief van de Financie van Holland, The Hague, The Netherlands.Google Scholar
National Archives (=NA). Archief van het Hof van Holland, The Hague, The Netherlands.Google Scholar
Neal, Larry. The Rise of Financial Capitalism: International Capital Markets in the Age of Reason. Cambridge: Cambridge University Press, 1990.Google Scholar
Neal, Larry. “The Finance of Business During the Industrial Revolution.” In The Economic History of Britain Since 1700 volume 1, edited by Floud, Roderick and McCloskey, Deirdre, 151–81. Cambridge: Cambridge University Press, 1994.Google Scholar
Neal, Larry. “How It All Began: The Monetary and Financial Architecture of Europe During the First Global Capital Markets, 1648–1815.” Financial History Review 7, no. 2 (2000): 117–40.Google Scholar
Neal, Larry. “I Am Not Master of Events:” The Speculations of John Law and Lord Londonderry in the Mississippi and South Sea Bubbles. New Haven, CT: Yale University Press, 2012.Google Scholar
Noordkerk, Hermanus. Handvesten; ofte privilegien ende octroyen; mitsgaders willekeuren, costuimen, ordonnantien en handelingen der stad Amstelredam volume 3. Amsterdam: Hendrik van Waesberge, Salomon and Petrus Schouten, 1748.Google Scholar
North, Douglass C., and Weingast, Barry R.. “Constitutions and Commitment: The Evolution of Institutions Governing Public Choice in Seventeenth-Century England.” The Journal of Economic History 49, no. 4 (1989): 803–32.Google Scholar
North Holland Archive, Gecommitteerde Raden van West-Friesland en het Noorderkwartier te Hoorn, Haarlem, The Netherlands.Google Scholar
O'Hara, Maureen. “Presidential Address: Liquidity and Price Discovery.” The Journal of Finance 58, no. 4 (2003): 1335–54.Google Scholar
O'Hara, Maureen. “Optimal Microstructures.” European Financial Management 13, no. 5 (2007): 825–32.Google Scholar
“Ontwerp van Staatsregeling voor het Bataafsche Volk.” In De Staatsregeling van 1798: Bronnen voor de totstandkoming volume 2: Bronnen vanaf 22 januari 1798, edited by de Gou, L., 105–62. 's-Gravenhage: Instituut voor Nederlandse Geschiedenis, 1990.Google Scholar
Overvoorde, J. C.Geschiedenis van het postwezen in Nederland voor 1795 met de voornaamste verbindingen met het buitenland. Leiden: Sijthoff, 1902.Google Scholar
Petram, Lodewijk. “The World's First Stock Exchange: How the Amsterdam Market for Dutch East India Company Shares Became A Modern Securities Market, 1602–1700.” Unpublished Dissertation University of Amsterdam, 2011. Available at http://dare.uva.nl.Google Scholar
Pfeil, Tom. ‘Tot redding van het vaderland’: Het primaat van de Nederlandse overheidsfinanciën in de Bataafs-Franse tijd 1795-1810. Amsterdam: NEHA, 1998.Google Scholar
Poell, Thomas. “Local Particularism Challenged, 1795–1813.” In The Political Economy of the Dutch Republic, edited by Gelderblom, Oscar, 291–320. Farnham: Ashgate, 2009.Google Scholar
Potter, Mark, and Rosenthal, Jean-Laurent. “The Development of Intermediation in French Credit Markets: Evidence from the Estates of Burgundy.” The Journal of Economic History 62, no. 4 (2002): 1024–49.Google Scholar
Quinn, Stephen. “The Glorious Revolution's Effect on English Private Finance: A Microhistory, 1680–1705.” The Journal of Economic History 61, no. 3 (2001): 593–615.Google Scholar
Quinn, Stephen. “Securitization of Sovereign Debt: Corporations as a Sovereign Debt Restructuring Mechanism in Britain, 1694 to 1750.” Unpublished Manuscript, Texas Christian University, March 2008.Google Scholar
Riley, James C.International Government Finance and the Amsterdam Capital Market, 1740–1815. Cambridge: Cambridge University Press, 1980.Google Scholar
Rommes, R. N. J.“De bevolking.” In Geschiedenis van de provincie Utrecht Volume 2: Van 1528 tot 1780, 171–78. Utrecht: Het Spectrum, 1997.Google Scholar
Rommes, R. N. J.. “Werken in de stad.” In Geschiedenis van de provincie Utrecht Volume 2: Van 1528 tot 1780, 195–212. Utrecht: Het Spectrum, 1997.Google Scholar
Rommes, Ronald. “Stad en bevolking.” In ‘Bruit van d'Eem’: Geschiedenis van Amersfoort Volume 1, edited by Kemperink, Rob and Elias, Burchard, 224–40. Utrecht: Matrijs, 2009.Google Scholar
Rouwenhorst, K. Geert. “The Origins of Mutual Funds.” In The Origins of Value: The Financial Innovations That Created Modern Capital Markets, edited by Goetzmann, William N. and Geert Rouwenhorst, K., 249–70. Oxford: Oxford University Press, 2005.Google Scholar
Schnabel, Isabel, and Song Shin, Hyun. “Liquidity and Contagion: The Crisis of 1763.” Journal of the European Economic Association 2, no. 6 (2004): 929–68.Google Scholar
Schneider, Jürgen, Schwarzer, Oskar, Zellfelder, Friedrich et al. Währungen der Welt Volume 6: Geld und Währungen in Europa im 18. Jahrhundert. Stuttgart: Steiner, 1992. 's-Gravenhaagsche Courant, various dates.Google Scholar
Slokker, Nicolaas Hendrik. Ruggengraat van de stad: De betekenis van gilden in Utrecht, 1528–1818. Amsterdam: Aksant, 2010.Google Scholar
Smit, J.Inventaris van het archief van de Financie van Holland, (1515) 1572–1806 (1830). The Hague: Nationaal Archief, 1947. Available at http://www.gahetna.nl/collectie/archief/pdf/NL-HaNA_3.01.29.ead.pdf.Google Scholar
ten Brink, E. A. B. J.Het Nederlandse postwezen vroeger en nu. Amsterdam: Wereldbibliotheek, 1956.Google Scholar
't Hart, Marjolein, Jonker, Joost and van Zanden, Jan Luiten. A Financial history of The Netherlands. Cambridge: Cambridge University Press, 1997.Google Scholar
The Hague City Archive (=HG), Bibliotheek, The Hague, The Netherlands.Google Scholar
't Hart, Marjolein, Jonker, Joost and van Zanden, Jan Luiten. Notarieel archief Den Haag I, The Hague, The Netherlands.Google Scholar
Tracy, James D.A Financial Revolution in the Habsburg Netherlands: Renten and Renteniers in the County of Holland, 1515–1565. Berkeley: University of California Press, 1985.Google Scholar
Tracy, James D.. Holland Under Habsburg Rule: The Formation of a Body Politic. Berkeley: University of California Press, 1990.Google Scholar
Utrecht City Archive (=HUA), Notarissen geresideerd hebbende te Utrecht-stad (=Notarissen), Utrecht, The Netherlands. Available at http://www.hetutrechtsarchief.nl/collectie/archiefbank/indexen/akten.Google Scholar
Utrecht City Archive (=HUA). Archief van de familie De Geer van Jutphaas, Utrecht, The Netherlands.Google Scholar
Utrecht City Archive (=HUA). Archief van de familie Kol, Utrecht, The Netherlands.Google Scholar
Utrecht City Archive (=HUA) Archief van de familie Van der Muelen (=Van der Muelen), Utrecht, The Netherlands. Utrechtsche Courant, various dates.Google Scholar
van Bochove, Christiaan. The Economic Consequences of the Dutch: Economic Integration Around the North Sea, 1500–1800. Amsterdam: Aksant, 2008.Google Scholar
van Bochove, Christiaan, Boerner, Lars, and Quint, Daniel. “Anglo-Dutch Premium Auctions in Eighteenth-Century Amsterdam.” SSRN Working Paper No. 2001074, June 2012.Google Scholar
van de Water, Johan. Groot placaatboek vervattende alle de placaten, ordonnantiën en edicten der edele mogende heeren staten 's lands van Utrecht; mitsgaders van de ed. groot achtb. heeren borgemeesteren en vroedschap der stad Utrecht volume 3. Utrecht: Jacob van Poolsum, 1733.Google Scholar
van der Meer, Theo. De wesentlijke sonde van sodomie en andere vuyligheeden: Sodomietenvervolgingen in Amsterdam 1730-1811. Amsterdam: Tabula, 1984.Google Scholar
van der Meer, Theo. Sodoms zaad in Nederland: Het ontstaan van homoseksualiteit in de vroegmoderne tijd. Nijmegen: SUN, 1995.Google Scholar
van Dillen, J. G. “Effectenkoersen aan de Amsterdamsche Beurs, 1723–1794.” Economisch-historisch jaarboek 17 (1931): 1–46.Google Scholar
van Genabeek, Joost. Met vereende kracht risico's verzacht: De plaats van onderlinge hulp binnen de negentiende-eeuwse particuliere regelingen van sociale zekerheid. Amsterdam: Stichting Beheer IISG, 1999.Google Scholar
van Nierop, Leonie. “Brieven van den Amsterdamschen makelaar Robert Hennebo aan den Haarlemschen zijdereeder Simon Bevel over Engelsche fondsen (1735–1736).” Economisch-historisch jaarboek 17 (1931): 47–80.Google Scholar
van Wisselingh, E. J.De grootboeken. Amsterdam: Meulenhoff, 1906.Google Scholar
van Zuiden, D. S.“De val van een Haagsch bankiershuis.” Jaarboek Die Haghe 1919–1920, 112–126.Google Scholar
van Zuiden, D. S.. “Iets over Tobias Boas en zijn relaties met het stadhouderlijke hof.” Jaarboek Die Haghe 1932, 53–68.Google Scholar
van Zuiden, D. S.“Nog meer over Boas.” Jaarboek Die Haghe 1933, 135–46.Google Scholar
van Zuiden, D. S.“Nog iets over Boas.” Jaarboek Die Haghe 1935, 61–64.Google Scholar
van Zuiden, D. S.. “De geschiedenis van een Haagsch bankiershuis.” Historia 2 (1936): 364–71.Google Scholar
Verstegen, S. W.Gewestelijke financiën ten tijde van de Republiek der Verenigde Nederlanden Volume 5: Utrecht (1579–1798). The Hague: Instituut voor Nederlandse Geschiedenis, 2006.Google Scholar
Wijsenbeek, Thera. “Economische leven.” In Den Haag: Geschiedenis van de stad volume 2: De tijd van de Republiek, edited by Wijsenbeek, Th. and van Blankenstein, E., 57–89. Zwolle: Waanders, 2005.Google Scholar
Wright, J. F. “The Contribution of Overseas Savings to the Funded National Debt of Great Britain, 1750–1815.” The Economic History Review 50, no. 4 (1997): 657–74.Google Scholar
Wrigley, E. A., Davies, R. S., Oeppen, J. E. et al. English Population History from Family Reconstitution, 1580–1837. Cambridge: Cambridge University Press, 1997.Google Scholar
Zuijderduijn, C. J.Medieval Capital Markets: Markets for Renten, State Formation, and Private Investment in Holland (1300–1550). Leiden: Brill, 2009.Google Scholar