
Banking & The Price Of Empire
England’s first bout of globalisation
Banking & The Price Of Empire
England’s first bout of globalisation
Standfirst:
The declaration of war by England on France in 1688 unleashed disruption that has parallels with present times. The Dutch Stadtholder had been at war with France for two decades, and the English had at times helped resist its advance.
What changed was that the Dutch king invaded England, with the aid of his bankers, to engorge financial and military resources.
It was a turning point for the English economy, at a cost to its traditional industries. Agrarian workers bore the brunt as they were forced off the land, while cottage industries like spinners and weavers would continue to grow —a supply chain increasingly vulnerable to financial crises and war.
Financial mechanisms like bills of exchange made it easier to buy foreign commodities using international shippers.
The urban factory system lay more than a century in the future, yet large parts of the country were already commercialised, entire cities whose livelihood depended on foreign trade. Lessons we seem to be re-learning today.
Money Circus
12.10.26
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